LOS ANGELES–(BUSINESS WIRE)–$MGPI #fraud—Glancy Prongay & Murray LLP (“GPM”), a leading national shareholder rights law firm, today announced that it has commenced an investigation on behalf of MGP Ingredients, Inc. (“MGP” or the “Company”) (NASDAQ: MGPI) investors concerning the Company and its officers’ possible violations of the federal securities laws.
If you suffered a loss on your MGP investments or would like to inquire about potentially pursuing claims to recover your loss under the federal securities laws, you can submit your contact information here or contact Charles H. Linehan, of GPM at 310-201-9150, Toll-Free at 888-773-9224, via email [email protected] or visit our website at www.glancylaw.com to learn more about your rights.
On January 17, 2020, MGP pre-announced its preliminary financial results for fiscal year 2019 that fell significantly below its guidance. The Company reported that net sales declined 4% year-over-year, rather than mid-single digit growth, and that operating income declined 9% year-over-year, rather than the 10%-20% growth represented to investors.
On this news, MGP’s stock price fell $14.60 per share, or over 27%, to close at $38.18 per share on January 17, 2020, thereby injuring investors.
Then, on February 26, 2020, MGP announced its finalized financial results for fiscal year 2019, confirming its earlier pre-announcement that the Company had fallen “significantly short of . . . guidance.” According to MGP’s Chief Executive Officer, MGP had been “unsuccessful in transacting a large portion of the aged whiskey sales . . . forecast for the fourth quarter.”
On this news, MGP’s stock price fell $3.38 per share, or over 10%, to close at $28.42 per share on February 26, 2020, thereby injuring investors further.
Whistleblower Notice: Persons with non-public information regarding MGP should consider their options to aid the investigation or take advantage of the SEC Whistleblower Program. Under the program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Charles H. Linehan at 310-201-9150 or 888-773-9224 or email [email protected].
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