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    MGP INGREDIENTS ALERT  123  0 Kommentare Bragar Eagel & Squire, P.C. Announces That a Class Action Lawsuit Has Been Filed Against MGP Ingredients, Inc. and Encourages Investors to Contact the Firm

    Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, announces that a class action lawsuit has been filed in the United States District Court for the District of Kansas on behalf of investors that purchased MGP Ingredients, Inc. (NASDAQ: MGPI) securities between February 27, 2019 and February 25, 2020 (the “Class Period”). Investors have until April 28, 2020 to apply to the Court to be appointed as lead plaintiff in the lawsuit.

    Click here to participate in the action.

    Beginning in 2015, instead of selling its whiskey as an unaged new distillate, which was then barreled and aged by its customers, MGP started storing significant amounts of barreled distillate that it could later sell as aged whiskey. After four years of aging, the Company was expected to commence selling this aged whiskey in 2019 at three times the price of unaged whiskey.

    On May 1, 2019, defendants announced MGP’s first quarter 2019 financial results, including “lighter” than consensus results due to “lower volumes” in sales of aged whiskey, but claimed that MGP was experiencing favorable demand and pricing trends and “confidently confirm[ed]” the Company’s guidance for the remainder of the year. On this news, the price of MGP stock declined nearly 23%.

    On July 31, 2019, defendants announced weak second quarter 2019 financial results, again due to poor sales of aged whiskey. In addition, defendants affirmed MGP’s net sales growth guidance, but revised downward their guidance for operating income growth. On this news, the price of MGP stock declined more than 25%.

    On October 31, 2019, defendants announced disappointing third quarter 2019 financial results, again due to poor whiskey sales, and blamed the failure to transact aged whiskey sales on customer delays and “funding issues,” but reiterated that MGP remained on track to achieve its revised full-year 2019 guidance.

    Following these disclosures, the Company’s stock price declined nearly 12%.

    On January 17, 2020, the Company announced its preliminary full-year 2019 financial results, which significantly missed the guidance defendants had reiterated with just two months to go in the year. Following these disclosures, the price of MGP stock declined more than 27% to close at $38.18 per share on January 17, 2020.

    Then, on February 26, 2020, the Company announced its finalized full-year 2019 financial results, confirming its previously announced preliminary results, including that it had fallen “significantly short of . . . guidance” due to its failure to sell aged whiskey during the fourth quarter of 2019. The Company also revealed that aged whiskey sales had declined year over year and that it had failed to secure the contracts it had previously highlighted to investors.

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    MGP INGREDIENTS ALERT Bragar Eagel & Squire, P.C. Announces That a Class Action Lawsuit Has Been Filed Against MGP Ingredients, Inc. and Encourages Investors to Contact the Firm Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, announces that a class action lawsuit has been filed in the United States District Court for the District of Kansas on behalf of investors that purchased MGP …