Settlement of In re Sunrun Inc. Shareholder Litigation,
Lead Case No. CIV538215
The parties have reached a settlement of this action, pending in the Superior Court of the State of California, County of San Mateo. The settlement provides for the payment of $32,000,000 for the benefit of eligible Class Members. Plaintiffs Jeffrey L. Pytel and Jackie L. Nunez alleged Defendants violated Sections 11, 12(a)(2) and 15 of the Securities Act of 1933 by misrepresenting and omitting material facts in the Registration Statement and Prospectus for Sunrun Inc.’s (“Sunrun”) initial public offering on August 5, 2015, selling or soliciting the sale of Sunrun’s stock by such false or misleading statements, or by controlling a person primarily responsible for misrepresenting and omitting material facts or selling or soliciting the sale of Sunrun’s stock by such false or misleading statements. The alleged misrepresented and omitted material facts concerned Sunrun’s core business model, a planned exit from the key market of Nevada, a growth plan based on unrealistic sales quotas and questionable sales practices, cancellations in several of the Company’s major markets, and the deterioration of the Company’s profitable relationship with Costco. Defendants denied all of Plaintiffs’ allegations.
The Class consists of all Persons who purchased or otherwise acquired Sunrun common stock before February 1, 2016 pursuant or traceable to the Company’s Registration Statement and Prospectus issued in connection with Sunrun’s August 5, 2015 initial public offering. Excluded from the Class are Defendants and members of their immediate families, the officers and directors of Sunrun and members of their immediate families, and their legal representatives, heirs, successors or assigns, and any entity in which Defendants have a controlling interest.
The settlement was approved by the Court on December 14, 2018.
If you have any questions about the settlement or the litigation, please contact Rick Nelson at 1-800-449-4900.