NEW YORK–(BUSINESS WIRE)–Faruqi & Faruqi, LLP, a leading national securities law firm, reminds
investors in Equity Bancshares, Inc. (“Equity Bancshares” or the
“Company”) (NASDAQ:EQBK) of the June 19, 2019 deadline to seek the role
of lead plaintiff in a federal securities class action that has been
filed against the Company.
If you invested in Equity Bancshares stock or options between May 11,
2018 and April 22, 2019 and would like to discuss your legal rights, click
here: www.faruqilaw.com/EQBK.
There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292
or at 212-983-9330 or by sending an e-mail to [email protected].
The lawsuit has been filed in the U.S. District Court for the Southern
District of New York on behalf of all those who purchased Equity
Bancshares securities between May 11, 2018 and April 22, 2019 (the
“Class Period”). The case, Burr v. Equity Bancshares, Inc.
et al, No. 19-cv-04346 was filed on May 13, 2019.
The lawsuit focuses on whether the Company and its executives violated
federal securities laws by failing to disclose to investors: (1) that
the Company lacked adequate internal controls to assess credit risk; (2)
that, as a result, certain of the Company’s loans posed an increased
risk of loss; (3) that, as a result, the Company was reasonably likely
to incur significant losses for certain substandard loans; and (4) that,
as a result of the foregoing, the Company’s positive statements about
the Company’s business, operations, and prospects were materially
misleading and/or lacked a reasonable basis.
On January 24, 2019, the Company disclosed that, during fourth quarter
2018, one credit relationship was downgraded to Watch and Substandard
for $19 million and $9 million, respectively. On this news, Equity
Bancshares’s share price fell from $34.29 per share on January 23, 2019
to a closing price of $32.15 on January 24, 2019: a $2.14 or a 6.24%
drop.
On April 22, 2019, the Company disclosed a $14.5 million provision for
loss against the credit relationship, resulting in a $4.1 million net
loss for first quarter 2019. On this news, Equity Bancshares’s share
price fell from $29.47 per share on April 22, 2019 to a closing price of
$24.71 on April 23, 2019: a $4.76 or a 16.15% drop.
The court-appointed lead plaintiff is the investor with the largest
financial interest in the relief sought by the class who is adequate and
typical of class members who directs and oversees the litigation on
behalf of the putative class. Any member of the putative class may move
the Court to serve as lead plaintiff through counsel of their choice, or
may choose to do nothing and remain an absent class member. Your ability
to share in any recovery is not affected by the decision to serve as a
lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding
Equity Bancshares’s conduct to contact the firm, including
whistleblowers, former employees, shareholders and others.
Attorney Advertising. The law firm responsible for this advertisement is
Faruqi & Faruqi, LLP (www.faruqilaw.com).
Prior results do not guarantee or predict a similar outcome with respect
to any future matter. We welcome the opportunity to discuss your
particular case. All communications will be treated in a confidential
manner.
Contacts
FARUQI & FARUQI, LLP
685 Third Avenue, 26th Floor
New
York, NY 10017
Attn: Richard Gonnello, Esq.
[email protected]
Telephone:
(877) 247-4292 or (212) 983-9330
