NEW YORK, Aug. 26, 2019 (GLOBE NEWSWIRE) -- Zhang Investor Law announces the filing of a class action lawsuit on behalf of shareholders who bought shares of Fred’s Inc. (FRED) between December 20, 2016 and June 28, 2017 (the “Class Period”). The lawsuit seeks to recover damages for Fred’s investors under the federal securities laws.
If you wish to serve as lead plaintiff, you must move the Court no later than August 27, 2019. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.
To join the class action, go to http://zhanginvestorlaw.com/join-action-form/?slug=freds-inc&id=1940 or call Sophie Zhang, Esq. toll-free at 800-991-3756 or email firstname.lastname@example.org for information on the class action.
According to the lawsuit, defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (1) the FTC had informed Defendants that the merger between Rite Aid Corp. and Walgreens was unlikely to garner regulatory approval as then constituted because of the significant market overlap between Rite Aid and Walgreens stores; (2) Defendants did not possess “clarity” from their non-public discussions with FTC regulators that the deal would be approved, but, rather, FTC officials had expressed concern that the planned divestitures did not go far enough to preserve competition in the pharmaceutical marketplace; (3) delay in the regulatory review process and FTC requests for additional information were not simply routine and inconsequential as Defendants had represented; (4) FTC Staff indicated to Defendants that Fred’s did not have the financial capability and incentives to acquire and operate the assets, nor the competitive ability to maintain or restore competition in the market; (5) Fred’s wouldn’t purchase the Rite Aid stores and certain assets related to store operations located across the eastern and western United States pursuant to the Asset Purchase Agreement; and (6) as a result of the foregoing, defendants’ positive statements about Fred’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis. When the true details entered the market, the lawsuit claims that investors suffered damages.
A class has not been certified. You may retain counsel of your choice. You may take no action at this time and be an absent class member. Your ability to obtain a recovery is not dependent upon being a lead plaintiff.
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