Capstone Green Energy Corp. Class Action Lawsuit - CGRNQ
Case Summary
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The Capstone Green Energy class action lawsuit seeks to represent purchasers or acquirers of Capstone Green Energy Corp. (OTC: CGRNQ) securities between June 14, 2021 and September 22, 2023, inclusive (the “Class Period”). Captioned Spitzer v. Flexon, No. 23-cv-08659 (C.D. Cal.), the Capstone Green Energy class action lawsuit charges certain current and former Capstone Green Energy top executive officers with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the Capstone Green Energy class action lawsuit, please provide your information in the form on this page. You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at jsanchez@rgrdlaw.com. Lead plaintiff motions for the Capstone Green Energy class action lawsuit must be filed with the court no later than December 12, 2023.
CASE ALLEGATIONS: Capstone Green Energy is a California-based gas turbine manufacturer that specializes in microturbine power along with heating and cooling cogeneration systems.
The Capstone Green Energy class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) Capstone Green Energy had engaged in “bill and hold transactions” with customers; (ii) these transactions were not reported pursuant to generally accepted accounting principles; and (iii) as a result of apparent errors primarily related to revenue recognition associated with bill and hold transactions, Capstone Green Energy lacked a reasonable basis to report certain financial results and was reasonably likely to restate its financial statements.
The Capstone Green Energy class action lawsuit further alleges that on August 15, 2023, Capstone Green Energy announced its inability to timely file a Form 10-Q due to an “ongoing review and investigations by the Audit Committee of financial reporting and other matters.” The Capstone Green Energy class action lawsuit alleges that on this news, the price of Capstone Green Energy stock fell more than 5%.
The Capstone Green Energy class action lawsuit further alleges that on August 18, 2023, Capstone Green Energy announced it had entered into a Fifth Amendment to its Amended and Restated Note Purchase Agreement. Capstone Green Energy also reported receipt of a notice from the NASDAQ exchange that Capstone Green Energy was not in compliance with listing requirements due to its failure to file periodic financial reports. The Capstone Green Energy class action lawsuit alleges that on this news, the price of Capstone Green Energy stock fell more than 30%.
The Capstone Green Energy class action lawsuit further alleges that on September 28, 2023, Capstone Green Energy announced that it had filed for Chapter 11 bankruptcy. The Capstone Green Energy class action lawsuit alleges that on this news, the price of Capstone Green Energy stock fell.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired Capstone Green Energy securities during the Class Period to seek appointment as lead plaintiff of the Capstone Green Energy class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the Capstone Green Energy class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the Capstone Green Energy class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the Capstone Green Energy class action lawsuit.
ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: Robbins Geller Rudman & Dowd LLP is one of the world’s leading complex class action firms representing plaintiffs in securities fraud cases. The Firm is ranked #1 on the most recent ISS Securities Class Action Services Top 50 Report for recovering more than $1.75 billion for investors in 2022 – the third year in a row Robbins Geller tops the list. And in those three years alone, Robbins Geller recovered nearly $5.3 billion for investors, more than double the amount recovered by any other plaintiffs’ firm. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig.