SAN DIEGO–(BUSINESS WIRE)–lt;a href=”https://twitter.com/search?q=%24PSMT&src=ctag” target=”_blank”gt;$PSMTlt;/agt; lt;a href=”https://twitter.com/hashtag/ClassAction?src=hash” target=”_blank”gt;#ClassActionlt;/agt;–Shareholder rights law firm Robbins
Arroyo LLP announces that a purchaser of PriceSmart, Inc. (NASDAQ:
PSMT) filed a class action complaint for alleged violations of the
Securities Exchange Act of 1934 between October 26, 2017 and October 25,
2018. PriceSmart owns and operates membership-shopping warehouse clubs
in Central America, the Caribbean, and Colombia.
View this information on the law firm’s Shareholder Rights Blog: https://www.robbinsarroyo.com/pricesmart-inc/
PriceSmart Accused of Misleading Investors
According to the complaint, in 2017, PriceSmart disclosed how it
experienced a lack of availability of U.S. dollars in certain markets,
including Trinidad, which impedes its ability to convert local
currencies to settle U.S. dollar liabilities and increases its foreign
exchange exposure to any devaluation of the local currency relative to
the U.S. dollar. In subsequent quarterly and annual filings, PriceSmart
reported revenue, net income, and cash and cash equivalents. However,
those filings were false, as they failed to disclose that PriceSmart
invested Trinidad and Tobago dollars into certificates of deposits and
then improperly classified then as cash and cash equivalents. In October
2018, PriceSmart announced the resignation of Chief Executive Officer
Jose Luis Laparte, and further disclosed that certain financial
statements would have to be restated to correct the balance sheet
misclassification of certain assets. On this news, PriceSmart’s stock
fell over 15% to close at $69.16 per share on October 26, 2018, and
continues to fall.
PriceSmart Shareholders Have Legal Options
Concerned shareholders who would like more information about their
rights and potential remedies can contact attorney Leo Kandinov at (800)
350-6003, [email protected]
or via the shareholder
information form on the firm’s website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder
rights law. The firm represents individual and institutional investors
in shareholder derivative and securities class action lawsuits, and has
helped its clients realize more than $1 billion of value for themselves
and the companies in which they have invested.
Attorney Advertising. Past results do not guarantee a similar outcome.
Contacts
Leo Kandinov
Robbins Arroyo LLP
5040 Shoreham Place
San
Diego, CA 92122
[email protected]
(619)
525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com
