American Renal Associates Holdings, Inc. Announces Settlement of Shareholder Class Action Litigation
February 01 2018 - 8:21AM
Business Wire
American Renal Associates Holdings, Inc. (NYSE: ARA) (“ARA” or
the “Company”), a leading provider of outpatient dialysis services,
today announced that the Company has entered into a Stipulation of
Settlement with the lead plaintiff in the shareholder class action
lawsuit pending against it in the United States District Court for
the District of Massachusetts, Esposito, et al. v. American Renal
Associates Holdings, Inc., et al., No. 16-cv-11797 (the “Esposito
Action”). The proposed settlement releases all claims asserted
against the Company and the other named defendants in the Esposito
Action without any liability or wrongdoing attributed to them.
The proposed settlement provides for a total settlement payment
of $4.0 million, inclusive of administrative fees and fees for lead
plaintiff’s counsel. The Company expects that substantially all of
the settlement will be funded by insurance proceeds. The proposed
settlement remains subject to court approval and other customary
conditions.
The Company issued the following statement regarding the
proposed settlement:
ARA is pleased to have reached an agreement in principle with
the plaintiffs, and the Company believes the settlement is in the
best interests of our shareholders. The Company looks forward to
bringing this matter to a close so that we can continue to focus on
delivering high quality dialysis services and building further on
the success of our differentiated physician-driven partnership
model.
About American Renal Associates
American Renal Associates Holdings, Inc. (NYSE: ARA) is a
leading provider of outpatient dialysis services in the United
States. As of September 30, 2017, ARA operated 217 dialysis clinic
locations in 25 States and the District of Columbia serving
approximately 15,200 patients with end stage renal disease. ARA
operates exclusively through a physician partnership model, in
which it partners with approximately 400 local nephrologists to
develop, own and operate dialysis clinics. ARA’s Core Values
emphasize taking good care of patients, providing physicians with
clinical autonomy and operational support, hiring and retaining the
best possible staff and providing a full suite of management
services. For more information about American Renal Associates,
visit www.americanrenal.com.
Forward-Looking Statements
This press release contains “forward-looking statements” within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. All forward-looking statements included in this release,
including expectations about the settlement of the Esposito Action
and expectations of insurance proceeds are based upon information
available to the Company as of the date of this release, which may
change, and the Company assumes no obligation to update any such
forward-looking statements. These statements are not guarantees of
future performance and actual results could differ materially from
the Company’s current expectations. Factors that could cause or
contribute to such differences include the risks and uncertainties
described in “Risk Factors” and “Special Note Regarding
Forward-Looking Statements” in our Annual Report on Form 10-K for
the year ended December 31, 2016, as updated by our reports on Form
10-Q filed with the Securities and Exchange Commission, as well as
the possibility that the court may fail to approve the terms of the
settlement. The Company assumes no obligation and does not intend
to update the forward-looking statements provided, whether as a
result of new information, future events or otherwise.
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version on businesswire.com: http://www.businesswire.com/news/home/20180201005686/en/
American Renal Associates Holdings, Inc.Darren Lehrich,
978-522-6063SVP Strategy & Investor Relationsdlehrich@americanrenal.com
American Renal Associates (NYSE:ARA)
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