SHAREHOLDER ALERT: Pomerantz Law Firm Investigates Claims on Behalf of Investors of NMC Health Plc – NMHLY

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NEW YORK, March 24, 2020 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of NMC Health Plc (NMC or the Company) (OTCMKTS:NMHLY).

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  • NEW YORK, March 24, 2020 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of NMC Health Plc (NMC or the Company) (OTCMKTS:NMHLY).
  • The investigation concerns whether NMC and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
  • Shetty is the sole shareholder, had sold over 10 million shares of NMC stock between February 3 and February 6, 2020.
  • Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions.


NEW YORK, March 24, 2020 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of NMC Health Plc (“NMC” or the “Company”) (OTCMKTS: NMHLY). Such investors are advised to contact Robert S. Willoughby at rswilloughby@pomlaw.com or 888-476-6529, ext. 7980.

The investigation concerns whether NMC and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.

[Click here for information about joining the class action]

On December 17, 2019, Muddy Waters Capital LLC published a detailed report alleging that NMC had misled investors and failed to disclose: (i) its lack of internal controls; (ii) de facto related party transactions; (iii) its true debt burden; (iv) its true cash-on-hand and asset values; and (v) its use of reverse factoring. On this news, NMC’s American depositary share (“ADS”) price fell $11.68 per share, or 33.6%, to close at $23.00 per share on December 17, 2019.

Then, on January 8, 2020, NMC issued a press release entitled “KBBO pricing announcement” which acknowledged and downplayed the sell-off of 31.2 million shares of Company stock by two of the Company’s controlling shareholders. On this news, NMC’s ADS price fell $6.48 per share, or over 28.4%, to close at $16.36 per share on January 8, 2020.

On February 14, 2020, NMC disclosed the resignation of one of NMC’s controlling shareholders as a Director of the Company, effective immediately. On this news, NMC’s ADS price fell $0.54 per share, or almost 5%, to close at $10.40 per share on February 14, 2020.

On February 18, 2020, NMC announced that a bank account for BRS International Holding (“BRS International”), of which NMC’s founder and former Chief Executive Officer B.R. Shetty is the sole shareholder, had sold over 10 million shares of NMC stock between February 3 and February 6, 2020. On this news, NMC’s ADS price fell $0.74 per share, or more than 6.5%, to close at $10.48 per share on February 19, 2020.

On February 24, 2020, BRS International announced that Shetty “had pledged 7 million of [NMC’s] shares as a security for debt” to Goldman Sachs. It was also announced that Shetty only “currently has a 9.81% interest in NMC. On this news, NMC’s ADS price fell $0.66 per share, or over 5.7%, to close at $10.81 per ADS on February 24, 2020.

Finally, on March 10, 2020, the Financial Times published an article entitled “NMC Health Discovers Almost $3bn of Debt Hidden from Its Board,” which continued to disclose NMC’s lack of internal controls and underreporting of debt. Further, on March 10, 2020, Bloomberg published an article entitled “Abu Dhabi Insurer Steps In to Help NMC Health Pay Salaries,” reporting that an insurer was assisting NMC in paying various expenses. On this news, NMC’s ADS price fell $3.28 per share, or almost 64%, to close at $1.85 per share on March 10, 2020.

The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.

CONTACT:
Robert S. Willoughby
Pomerantz LLP
rswilloughby@pomlaw.com
888-476-6529 ext. 9980