RADNOR, Pa., Feb. 22, 2024 /PRNewswire/ -- The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been filed against GrafTech International Ltd. ("GrafTech") (NYSE: EAF). The action charges GrafTech with violations of the federal securities laws, including omissions and fraudulent misrepresentations relating to the company's business, operations, and prospects. As a result of GrafTech' s materially misleading statements and omissions to the public, GrafTech' s investors have suffered significant losses.
CLICK HERE TO SUBMIT YOUR GRAFTECH LOSSES. YOU CAN ALSO CLICK ON THE FOLLOWING LINK OR COPY AND PASTE IN YOUR BROWSER: https://www.ktmc.com/new-cases/graftech-international-ltd?utm_source=PR&utm_medium=link&utm_campaign=eaf&mktm=r
LEAD PLAINTIFF DEADLINE:MARCH 25, 2024
CLASS PERIOD: FEBRUARY 8, 2019 THROUGH AUGUST 3, 2023
CONTACT AN ATTORNEY TO DISCUSS YOUR RIGHTS:
Jonathan Naji, Esq. at (484) 270-1453 or via email at info@ktmc.com
Kessler Topaz is one of the world's foremost advocates in protecting the public against corporate fraud and other wrongdoing. Our securities fraud litigators are regularly recognized as leaders in the field as well as the firm itself which is continuously awarded for the successful results we've achieved. We are proud to have recovered billions of dollars for our clients and the classes of shareholders we represent.
In addition to representing investors in cases where the fraud has been revealed, Kessler Topaz also represents whistleblowers - persons who expose wrongdoing to those in positions of authority or to the public- in cases brought under federal and state qui tam statutes, and through financial fraud whistleblower programs, such as those run by the SEC, CFTC and IRS. If you have information about fraud against government programs (such as Medicare), or violations of federal securities, commodities, tax or anti-foreign bribery laws, contact Kessler Topaz at (866) 369-7779 or at wbinfo@ktmc.com or go to https://www.ktmc-whistleblower.com.
DEFENDANTS' ALLEGED MISCONDUCT
Before the start of the Class Period, GrafTech had underwent an extensive transformation that was intended to revamp the company's business and return it to profitability. In public filings with the SEC, the company lauded its "transformation" and claimed that it had emerged from its restructuring with the "most competitive portfolio of low-cost graphite electrode manufacturing facilities in the industry." The company further represented that GrafTech's facilities were "modern, strategically located and well-maintained," which they claimed would provide the company with efficient growth opportunities following the offering. Key to this purportedly sustainable growth were the company's claims regarding the "more environmentally friendly nature of EAF steelmaking" employed by GrafTech's customers. Defendants continued to represent throughout the Class Period that GrafTech was committed to protecting the environment and acting "proactively" to advance sustainability initiatives.
The truth began to be revealed on September 16, 2022, when GrafTech disclosed that its critical manufacturing facility in Monterrey, Mexico had been shut down by regulators following inspections by the State Attorney's office for the Secretary of Environment and the Ministry of the Environment. The Monterrey facility was responsible for manufacturing 30% of GrafTech's overall graphite electrode output and 100% of its pin stock. Following this news, GrafTech's stock price fell $0.45, or 8.5%, to close at $4.85 on September 19, 2022.
Then, on August 4, 2023, GrafTech issued a press release reporting the company's financial and operational results for the quarter ended June 30, 2023. In the results, GrafTech reported that sales declined 49% compared to the second quarter of 2022 as the company continued to "recover" from the effects of the Monterrey facility shutdown in 2022. As a result of the substantial decline in net sales, GrafTech reported a net loss of $8 million compared to $115 million in net income reported in the second quarter of 2022. On the investor conference call discussing the results, GrafTech attributed the Monterrey suspension as the "key driver" of the underperformance and disclosed that GrafTech's ability to secure customer contracts would continue to be indirectly impacted in the second half of fiscal 2023.
Following this news, GrafTech's stock price fell $1.18 per share, or 22.56%, to close at $4.05 per share on August 4, 2023.
WHAT CAN I DO?
GrafTech investors may, no later than March 25, 2024, move the Court to serve as lead plaintiff for the class, through Kessler Topaz Meltzer & Check, LLP or other counsel, or may choose to do nothing and remain an absent class member. Kessler Topaz Meltzer & Check, LLP encourages GrafTech investors who have suffered significant losses to contact the firm directly to acquire more information. The class action complaint against GrafTech, Porter v. GrafTech International Ltd., et al., Case No. 24-cv-00154, is filed in the United States District Court for the Northern District of Ohio.
CLICK HERE TO SIGN UP FOR THE CASE
WHO CAN BE A LEAD PLAINTIFF?
A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. The lead plaintiff is usually the investor or small group of investors who have the largest financial interest and who are also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
ABOUT KESSLER TOPAZ MELTZER & CHECK, LLP
Kessler Topaz Meltzer & Check, LLP prosecutes class actions in state and federal courts throughout the country and around the world. The firm has developed a global reputation for excellence and has recovered billions of dollars for victims of fraud and other corporate misconduct. All of our work is driven by a common goal: to protect investors, consumers, employees and others from fraud, abuse, misconduct and negligence by businesses and fiduciaries. The complaint in this action was not filed by Kessler Topaz Meltzer & Check, LLP. For more information about Kessler Topaz Meltzer & Check, LLP please visit www.ktmc.com.
CONTACT:
Kessler Topaz Meltzer & Check, LLP
Jonathan Naji, Esq.
280 King of Prussia Road
Radnor, PA 19087
(484) 270-1453
info@ktmc.com
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