SAN DIEGO & RUE BASSE, Monaco–(BUSINESS WIRE)–$DLNG #ClassAction–Shareholder rights law firm Robbins
Arroyo LLP reminds investors that a purchaser of Dynagas LNG
Partners filed a class action complaint against Dynagas LNG Partners
(NYSE: DLNG) for alleged violations of the Securities Exchange Act of
1934 between February 16, 2018 and March 21, 2019. Dynagas is a limited
partnership that owns six tanker ships designed for the transportation
of liquefied natural gas.
View this information on the law firm’s Shareholder Rights Blog: https://www.robbinsarroyo.com/dynagas-lng-partners-lp/
Dynagas Accused of Misleading Investors Regarding Two Key
Long-Term Contracts
According to the complaint, since its 2013 IPO, Dynagas attracted
investors by paying a substantial quarterly distribution. Dynagas
routinely touted its long-term charter contracts and reminded investors
of the predictable nature of revenue. However, starting in early 2018,
Dynagas began misleading investors regarding the new distribution rate.
In a February 2018 conference call, CEO Tony Lauritzen falsely assured
investors that the new distribution rate would be consistent and
sustainable for a long time. Contrary to his assurances, Dynagas knew
that its steady, predictable cash flow would be reduced in 2018 and for
years thereafter. On November 15, 2018, Dynagas disclosed that two of
its vessels entered extended charter contracts at “lower rates compared
with the previous charter contracts.” On this news, Dynagas’s stock fell
$1.07, or over 13.7%. Then on January 25, 2019, the magnitude of the
fraud was further revealed when Dynagas announced that it would be
cutting its quarterly distribution by 75% as it was “necessary in order
to retain more of the cash generated from the Partnership’s long term
contracts to maintain a steady cash balance.” On this news, Dynagas’
stock fell $1.11, or over 27.6%, to close at $2.91 per share on January
26, 2019, and has continued to fall.
Dynagas 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
