SAN DIEGO, CA / ACCESSWIRE / September 29, 2021 /Robbins Geller Rudman & Dowd LLP announces that purchasers of AppHarvest, Inc. (NASDAQ:APPH) securities between May 17, 2021 and August 10, 2021, inclusive (the "Class Period") have until November 23, 2021 to seek appointment as lead plaintiff in the AppHarvest class action lawsuit. The AppHarvest class action lawsuit charges AppHarvest and certain of its top executives with violations of the Securities Exchange Act of 1934. The AppHarvest class action lawsuit (Ragan v. AppHarvest, Inc., No. 21-cv-07985) was commenced on September 24, 2021 in the Southern District of New York.
If you wish to serve as lead plaintiff of the AppHarvest class action lawsuit, please provide your information by clicking here. You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at jsanchez@rgrdlaw.com. Lead plaintiff motions for the AppHarvest class action lawsuit must be filed with the court no later than November 23, 2021.
CASE ALLEGATIONS: The AppHarvest class action lawsuit alleges that, throughout the Class Period, defendants made false and misleading statements and failed to disclose that: (i) AppHarvest lacked sufficient training for its recently expanded labor force; (ii) as a result, AppHarvest could not produce Grade No. 1 tomatoes consistently; (iii) consequently, AppHarvest's financial results would be adversely impacted; and (iv) as such, defendants' positive statements about AppHarvest's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
On August 11, 2021, AppHarvest announced its second quarter 2021 financial results, reporting a $32.0 million net loss. AppHarvest also lowered its full year sales guidance to a range of $7 million to $9 million, from a prior range of $20 million to $25 million. AppHarvest attributed the lower than expected results to "operational headwinds with the ramp up to full production at the company's first CEA facility, including labor and productivity challenges related to the training and development of the new workforce and historically low market prices for tomatoes." On this news, AppHarvest's share price fell approximately 29%, damaging investors.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased AppHarvest securities during the Class Period to seek appointment as lead plaintiff in the AppHarvest class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the AppHarvest class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the AppHarvest class action lawsuit. An investor's ability to share in any potential future recovery of the AppHarvest class action lawsuit is not dependent upon serving as lead plaintiff.