Pomerantz LLP Appointed Co-Lead Counsel in Platform Specialty Products Corporation Securities Litigation
On June 30, 2016 Pomerantz LLP was appointed Co-Lead Counsel in a class action lawsuit against Platform Specialty Products Corporation (“Platform” or the “Company”) and certain of its officers. The class action, filed in United States District Court, Southern District of Florida, and docketed under 16-cv-80490, is on behalf of a class consisting of all persons or entities who purchased Platform securities between February 17, 2015 and March 14, 2016 inclusive (the “Class Period”). This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
Platform was founded in 1922. Formerly known as Platform Acquisition Holdings Limited, the Company changed its name to Platform Specialty Products Corporation in October 2013. Platform is headquartered in West Palm Beach, Florida.
The complaint alleges that throughout the Class Period, defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, defendants made false and/or misleading statements and/or failed to disclose that: (i) Arysta had made improper third-party payments in West Africa; (ii) that the foregoing payments were unlawful under the U.S. Foreign Corrupt Practices Act (“FCPA”); and (iii) as a result of the foregoing, Platform’s public statements were materially false and misleading at all relevant times.
On March 11, 2016, Platform disclosed in its 2015 annual report that the Company had “discovered certain payments made to third-party agents in connection with Arysta’s government tender business in West Africa which may be illegal or otherwise inappropriate,” and had “engaged outside counsel and an outside accounting firm to conduct an internal investigation to review the legality of these and other payments...including Arysta’s compliance with the FCPA.”
On this news, Platform stock fell $0.28 per share, or 3.16%, to close at $8.57 on March 14, 2016, the following trading day.
On March 14, 2016, shortly before the end of the trading day, the Wall Street Journal published a story addressing these disclosures by Platform, entitled “Chemical Company Notifies U.S. of West Africa FCPA Probe.”
On this news, Platform stock fell $0.62 per share, or 7.23%, to close at $7.95 on March 15, 2016.