"If you purchased Primo Water stock during the Class Priod, contact Gilman Law toll-free at (888) 252-0048."
Naples, FL (PRWEB) December 26, 2011
Gilman Law LLP, a leading national securities law firm, is actively investigating shareholder allegations that Primo Water Corporation (“Primo Water” or the “Company”) and certain of its officers and directors made materially false and misleading statements or failed to disclose material information related to the company’s business and operations in violation of Section 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10-5 promulgated thereunder.
Shareholders who purchased or otherwise acquired the stock of Primo Water in or traceable to the Company’s initial public offering on or about November 4, 2010 (the “IPO”) and the Company’s offering of common stock on or about June 17, 2011 (collectively, the “Offerings”), as well as purchasers of the Company’s common stock between November 4, 2010 and August 10, 2011, inclusive (the “Class Period”) and either lost money on the transaction or still hold the shares may contact Gilman Law LLP Toll Free 888-252-0048 by January 31, 2012 to discuss your rights, including as to recovery of your losses or to obtain additional information.
Primo Water, through its subsidiaries, provides multi-gallon purified bottled water, self-serve filtered drinking water, and water dispensers in the United States and Canada. The Primo Water shareholder class action lawsuit alleges that during the Class Period, the Company failed to disclose that neither demand nor sales of the Company’s products were as robust as represented and stores owned by the Company’s largest retail customers did not carry the Company’s products so the Company was not generating any revenue from those locations. Shareholders also allege that the Company’s growth and business prospects were heavily dependent upon the ability of the Company’s two largest customers to sell products from other, unrelated companies before those customers would order products from Primo Water. In addition, the Complaint alleges that Primo Water failed to disclosure that the Company’s primary retail customers would not be in position to order any of the Company’s products until after those retail customers cleared out other inventory sitting on their shelves, including inventory related to products sold by competitors to the Company. The Complaint further alleges that the Company’s largest retail customers had delayed promotions of the Company’s products, which negatively impacted the Company’s sales. Thus, according to the Complaint, the Company’s growth rate had slowed and would be slower for the rest of 2011, if not beyond; and the Company would not meet the financial guidance it provided to investors. dockets.justia.com/docket/north-carolina/ncmdce/1:2011cv01068/58401/ Case No: 2011-cv-01068.
Further, according to the Complaint, on August 10, 2011, before the stock market opened, the Company issued a press release announcing its financial results for the second quarter of 2011 wherein it reported a net loss of $2 million. Primo Water also revised its financial projections downward for the third and fourth quarters of 2011. As a result of this news, Primo Water’s shares dropped 61% from the previous day’s close of $13.92 per share, to close at $5.40 per share on August 10, 2011, on very heavy trading volume.
Primo Water shareholders who are members of the Class must contact Gilman Law LLP no later than January 31, 2012 if they wish to seek appointment as lead plaintiff in the class action lawsuit. While share in any recovery is not affected by lead plaintiff status, that individual will act on behalf of other class members in directing the litigation, including determining whether and how much of a settlement to accept in the lawsuit. The lead plaintiff will be selected by the Court among applicants claiming the largest loss from investment in Primo Water during the class period.
If you wish to join the Primo Water class action lawsuit filed in the U.S. District Court for the Middle District of North Carolina, please visit http://www.investment-losses.com or contact Gilman Law LLP at (888) 252-0048.
For over 30 years, the lawyers at Gilman Law have extensive experience representing both individual and institutional investors in securities have been involved in all major aspects of securities fraud litigation. The firm specializes in cases involving stock manipulation, securities fraud, and shareholder rights violations. Gilman Law is ready to assist investors nationwide who have sustained losses as a result of Primo Water’s alleged fraud. For more information on the Primo Water Investor Class action lawsuit or our other current investigations, please visit http://www.gilmanlawllp.com or http://gilmanlawsecuritiesstocksbondsfraud.com. For a free evaluation of your case, please contact Gilman Law toll free at (888) 252-0048.
About Gilman Law LLP:
Gilman Law LLP, a leading national law firm with offices in Florida and Massachusetts, has been recognized for delivering successful results to their clients across a broad range of claims stemming from securities fraud, consumer product injury, mass tort, and class action lawsuits. For over 32 years, the Gilman Law LLP team of highly experienced lawyers has earned renown for tireless work on behalf of their clients on many of today’s most challenging and important legal issues.
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