Loading, Please Wait...
SAN FRANCISCO, Nov. 05, 2019 (GLOBE NEWSWIRE) -- Hagens Berman reminds investors in Covetrus, Inc. (NASDAQ: CVET) of the pending securities fraud class action and urges CVET investors who have suffered losses in excess of $50,000 to contact the firm.
Covetrus (CVET) Securities Class Action:
According to the Complaint, Defendants misled investors about the business prospects and performance of Covetrus, which was formed through a spin-off and merger of the Animal Health Business of Henry Schein with Vets First Choice (“VFC”). Specifically, Defendants repeatedly assured investors that the integration of the legacy Henry Schein Animal Health Business and VFC was on track to hit financial targets.
On August 13, 2019, Covetrus shocked investors when it reported a 2Q 2019 loss and slashed 2019 guidance. The company blamed the poor performance on integration difficulties and increased spending to eliminate obligations to Henry Schein.
This news drove the price of Covetrus shares down $9.30, or down about 40%, to close at $13.89 on August 13, 2019, wiping out over $1 billion of the Company’s market capitalization.
On October 22, 2019, the Company and senior management announced the immediate departure of Ben Shaw from his roles as director, CEO and President, driving the price of Covetrus shares down as much $1.96, or about 19%, during intraday trading that day.
“We’re focused on investors’ losses and whether Covetrus misled investors about the successful onboarding of Henry Schein’s Animal Health Business,” said Hagens Berman partner Reed Kathrein.
Whistleblowers: Persons with non-public information regarding Covetrus 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 510-725-3000 or email CVET@hbsslaw.com.
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.
Reed Kathrein, 510-725-3000