Johnson Fistel, LLP Announces That It Has Filed A Class Action Lawsuit With An Expanded Class Period Against Uniti Group Inc. and Certain of Its Officers Alleging Violations of the Federal Securities Laws

SAN DIEGO, Dec. 23, 2019 /PRNewswire/ -- Johnson Fistel, LLP announces that it has filed a class action lawsuit on behalf of all those who purchased or otherwise acquired Uniti Group Inc. ("Uniti") (NASDAQ: UNIT) common stock during the period between April 20, 2015 and June 24, 2019, inclusive (the "Class Period"). This action was filed in the United States District Court for the Eastern District of Arkansas, case No. 4:19-cv-00927.

The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or otherwise acquired Uniti common stock during the Class Period to seek appointment as lead plaintiff. A lead plaintiff acts on behalf of all other class members in directing the litigation. The lead plaintiff can select a law firm of its choice. An investor's ability to share in any potential future recovery is not dependent upon serving as lead plaintiff. If you wish to serve as lead plaintiff, you must move the Court no later December 30, 2019. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Jim Baker ([email protected]) at 619-814-4471. If emailing, please include a phone number. 

Additionally, you can [click here to join this action]. There is no cost or obligation to you.

The complaint alleges that defendants made false and misleading statements and/or failed to disclose that: (1) the sale-leaseback transaction between Windstream and Uniti was a highly risky attempt to make an end-run around the restrictive covenants in the Indenture; (2) Windstream was violating the restrictive covenants contained in its notes by entering into the sale-leaseback arrangement with Uniti and that this violation was going to lead to the noteholder accelerating the notes obligating Windstream to immediately repay hundreds of millions of dollars which would bankrupt Windstream and have severe financial consequences for Uniti; (3) Uniti was running out of sufficient liquidity and would soon need to issue additional debt if it was to continue operations; and (4) as a result of the foregoing, defendants lacked a reasonable basis for their positive statements about Uniti, its revenues, earnings and prospects.  The complaint alleges that when the true details entered the market, investors suffered damages.  For example, the complaint alleges that despite Uniti's repeated assertions that they did not have any liquidity concerns, on June 24, 2019, Uniti announced a note offering of $300 million aggregate principal amount of exchangeable senior notes due 2024, with an option to purchase up to an additional $45 million aggregate principal amount of the Exchangeable Notes during a 13-day period beginning on, and including, the first day on which the Exchangeable Notes are issued.  The complaint alleges that, as a result of this news, the price of Uniti stock dropped from $10.69 when the market closed on June 24, 2019, to $9.38 when the market closed on June 25, 2019, on very heavy volume.

Plaintiff seeks to recover damages on behalf of all those who purchased or otherwise acquired Uniti common stock during the Class Period.

About Johnson Fistel, LLP:
Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York, and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit https://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.

Contact:
Johnson Fistel, LLP
Jim Baker, 619-814-4471
[email protected]

SOURCE Johnson Fistel, LLP

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