LOS ANGELES, Aug. 20, 2020 (GLOBE NEWSWIRE) -- The Portnoy Law Firm advises investors that a class action lawsuit has been filed on behalf of PlayAGS, Inc. ("PlayAGS" or the "Company") (NYSE: AGS) investors that acquired shares between August 2, 2018 and August 7, 2019. Investors have until August 24, 2020 to seek an active role in this litigation.
On April 30, 2020, Nashville Business Journal reported that a proposed class action lawsuit had been filed against Brookdale, accusing the Company of, among other things, purposeful “chronically insufficient staffing” at its facilities in an effort to meet financial benchmarks since at least April 24, 2016. According to the lawsuit, the Company misinformed both residents and their families in promising to provide daily living services and basic care. The lawsuit also claims that the proposed class of plaintiffs “have not received the care and services they paid for.”
On this news, the Company’s share price fell $0.56 per share, or over 15%, over two trading sessions, to close at $3.12 per share on May 1, 2020.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that Brookdale’s financial performance was sustained by, among other things, the Company’s purposeful understaffing of its senior living communities; (2) that the foregoing conduct subjected Brookdale to an increased risk of litigation and, once revealed, was foreseeably likely to have a material negative impact on the Company’s financial results and reputation; (3) as a result, the Company’s financial results were unsustainable; and (4) as a result, the Company’s public statements were materially false and misleading at all relevant times.
Please visit our website to review more information and submit your transaction information.
The Portnoy Law Firm represents investors in pursuing claims against caused by corporate wrongdoing. The Firm’s founding partner has recovered over $5.5 billion for aggrieved investors. Attorney advertising. Prior results do not guarantee similar outcomes.