BENSALEM, Pa., March 21, 2019 (GLOBE NEWSWIRE) -- Law Offices of Howard G. Smith reminds investors of the April 2, 2019 deadline to file a lead plaintiff motion in the class action filed on behalf of investors that purchased Astec Industries, Inc. (“Astec” or the “Company”) (NASDAQ: ASTE) securities between July 26, 2016 and October 22, 2018, inclusive (the “Class Period”). Astec investors have until April 2, 2019 to file a lead plaintiff motion.
Investors suffering losses on their Astec investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to email@example.com.
On July 24, 2018, Astec announced financial results for the second quarter of 2018 and disclosed that the Company was exiting from its contractual obligations concerning the Highland wood pellet plant in Arkansas "driven by unresolved issues, which inhibited the plant's ability to meet contractual provisions by the date required by the Company's sales contract with Highland." Therefore, the Company "agreed to pay $68 million in cash in the aggregate over the course of the next 120 days and forgive approximately $7 million in receivables." On this news, shares of Astec fell $12.59 per share or more than 20%, to close at $48.21 on July 24, 2018, thereby injuring investors.
Then on January 22, 2019, the Company announced that effective immediately, Benjamin G. Brock had resigned as Chief Executive Officer of the Company.
The Complaint filed in this class action alleges that Defendants made materially false and misleading statements and/or failed to disclose material adverse information regarding Astec's business, operations and prospects, including that its wood pellet plants suffered from significant and costly problems that prevented them from running at their promised production capacity, posing a threat to the Company's pellet plant business, its overall financial performance, and its financial outlook.
If you purchased shares of Astec during the Class Period you may move the Court no later than April 2, 2019 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at www.howardsmithlaw.com.
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