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 (jimb@johnsonfistel.com)
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
jimb@johnsonfistel.com
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SOURCE Johnson Fistel, LLP