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HENDERSONVILLE, TN / ACCESSWIRE / April 4, 2020 / The Law Offices of Timothy L. Miles, who has been leading the fight to protect shareholder rights for over 18 years, announces that a purchaser of Mesa Air Group, Inc. (MESA) filed a class action complaint against the Company for alleged violations of the Securities Act of 1933 pursuant to the company's August 2018 initial public offering ("IPO"). Mesa operates as the holding company for Mesa Airlines, Inc., which provides regional air carrier services with American Airlines and the United Airlines
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Mesa Air Group, Inc. (MESA) Accused of Misleading Shareholders
According to the complaint, Mesa held its IPO on August 14, 2018, offering approximately 11 million shares at $12.00 per share for gross proceeds of approximately $115.56 million. In its Registration Statement, Mesa touted its "competitive cost structure" and "track record of reliable performance." However, in February 2019, Mesa revealed that "a year ago" American Airlines had talked to the Company about raising its performance levels and Mesa admitted its "performance levels were certainly far below that which the industry is currently operating," but assured it was addressing the issues and increasing performance requirements for its American Airlines capacity purchase agreement ("CPA"). Contrary to assurances, on August 9, 2019, Mesa revealed it "did not meet the performance criteria" required under the American CPA. Consequently, American elected to remove four of Mesa's aircrafts from the CPA, thereby decreasing the number of guaranteed revenue-generating aircrafts operated by Mesa for American. Since this news, Mesa's share price has plummeted, currently trading at around $3 per share, representing a staggering 74% decline from its IPO price.
Mesa Shareholders Urged to Contact the Firm
If you purchased Mesa securities, have information, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Timothy L. Miles, Esquire, at 615-587-7384, Toll-Free at 855-846-6529, or by email to tmiles@timmileslaw.com. If you inquire by email please include your mailing address, telephone number, and the number shares owned.
About Timothy L. Miles
Timothy L. Miles is a nationally recognized shareholder rights attorney raised in Nashville, Tennessee. Mr. Miles was recently selected by Martindale-Hubbell® and ALM as a 2020 Top Ranked Lawyer and a 2020 Top Rated Litigator. Mr. Miles also maintains the AV Preeminent Rating by Martindale-Hubbell®, their highest rating for both legal ability and ethics. Mr. Miles is a member of the prestigious Top 100 Civil Plaintiff Trial Lawyers: The National Trial Lawyers Association, a superb rated attorney by Avvo, a recipient of the Lifetime Achievement Award by Premier Lawyers of America (2019) and recognized as a Distinguished Lawyer, Recognizing Excellence in Securities Law, by Lawyers of Distinction (2019). Awards: Top Rated Litigator by Martindale-Hubbell® and ALM (2019); 2019 Elite Lawyer of The South by Martindale-Hubbell® and ALM (2019); Member of the Top 100 Civil Plaintiff Trial Lawyers: The National Trial Lawyers Association (2017-2019); AV® Preeminent™ Rating by Martindale-Hubble® (2014-2020); PRR AV Preeminent Rating on Lawyers.com (2017 & 2019); The Top-Rated Lawyer in Litigation™ for Ethical Standards and Legal Ability (Martindale-Hubble® 2015); Lifetime Achievement Award by Premier Lawyers of America (2019); Superb Rated Attorney (Avvo); Avvo Top Rated Lawyer for 2017 & 2018 (Avvo). Mr. Miles has authored numerous publications advocating for shareholdings including most recently: Free Portfolio Monitoring Services Offered by Plaintiff Securities Firms Provides Significant Benefits To Investors (Timothy L. Miles, Dec. 3, 2019).