HAGENS BERMAN, NATIONAL TRIAL ATTORNEYS, Encourages MGP Ingredients (MGPI) Investors Who Have Suffered $100K+ Losses to Contact its Attorneys: Securities Class Action Filed
SAN FRANCISCO, March 2, 2020 /PRNewswire/ -- Hagens Berman urges investors in MGP Ingredients, Inc. (NASDAQ: MGPI) who have suffered losses in excess of $100,000 to submit their losses now. A securities fraud class action has been filed, and certain investors may have valuable claims.
Class Period: Feb. 27, 2019 – Feb. 25, 2020 |
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Lead Plaintiff Deadline: Apr. 28, 2020 |
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Sign Up: www.hbsslaw.com/investor-fraud/MGPI |
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Contact An Attorney Now: |
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844-916-0895 |
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MGP Ingredients, Inc. (MGPI) Securities Class Action:
The complaint alleges that MGP misrepresented and concealed the growth and profitability prospects of the Company's aged whiskey business. According to the complaint, Defendants misled investors in believing that MGP would commence sales of its aged whiskey in 2019 at three times the price of unaged whiskey and repeatedly confirmed FY 2019 financial guidance.
But, according to the complaint, in truth: (1) MGP had not completed any significant sales of its aged whiskey inventory; (2) the Company had been unable to sell its aged whiskey at the previously-represented price premium; and, (3) the Company's inventory of aged whiskey had a lower value as a result of a glut and shifts in consumer behavior.
The truth emerged through a series of partial disclosures of disappointing financial results each quarter of fiscal year 2019, where management disclosed declining sales of aged whiskey. But on Feb. 26, 2020, MGP finally came clean when it released its FY 2019 financial results and slashed guidance due to lower aged whiskey sales. This news drove the price of MGP shares sharply lower that day. Management stated that aged whiskey sales were "unpredictable" and that the Company had reduced its expectations for aged whiskey sales going forward.
"We're focused on investors' losses and proving that MGP misrepresented its ability to sell its aged whiskey at premium prices," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you purchased shares of MGP Ingredients and suffered significant losses, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding MGP Ingredients should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
About Hagens Berman
Hagens Berman is a national law firm with nine offices in eight cities around the country and eighty attorneys. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes is located at hbsslaw.com. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
Contact:
Reed Kathrein, 844-916-0895
SOURCE Hagens Berman Sobol Shapiro LLP
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