The Shareholders Foundation announces that an investor, who purchased shares of Vivint Solar Inc (NYSE:VSLR), filed a lawsuit in the U.S. District Court for the Southern District of New York over alleged violations of Federal Securities Laws by Vivint Solar in connection with certain allegedly false and misleading statements made between October 1, 2014 and November 10, 2014.
Investors who purchased shares of Vivint Solar Inc (NYSE:VSLR) have certain options and for certain investors are short and strict deadlines running. Deadline: January 20, 2015. NYSE:VSLR investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 – 1554.
According to the complaint the plaintiff alleges on behalf of purchasers of Vivint Solar Inc (NYSE:VSLR) common shares between October 1, 2014 and November 10, 2014, that the defendants violated Federal Securities Laws.
On or about September 30, 2014, Vivint Solar Inc and the underwriters announced the pricing of its initial public offering (“IPO”) at $16.00 per share, and on October 1, 2014 filed the final Prospectus, which forms part of the Registration Statement for the IPO with the Securities and Exchange Commission.
The plaintiff claims that the Registration Statement for the IPO was negligently prepared and, as a result, contained untrue statements of material facts or omitted to state other facts necessary to make the statements made not misleading.
More specifically, the plaintiff alleges that under the rules and regulations governing the preparation of the Registration Statement, Vivint Solar Inc was required to disclose at the time of the IPO that ownership trends in the residential solar industry had changed from long-term leasing to financing, that demand for long-term leases had declined, and that growth in the Company’s operating expenses in the third quarter of 2014 had significantly outstripped growth in revenue, resulting in much weaker sales trends and significantly larger net losses than the market had been led to expect. The plaintiff claims that the Registration Statement contained no such disclosures.
Then on November 10, 2014, Vivint Solar Inc announced its third quarter 2014 financial results. While Vivint Solar Inc reported that its third quarter Revenue rose from $2.27 million in 2013 to $8.33 million in 2014 its third quarter Net Loss increased from $14.99 million in 2013 to $51.69 million in 2014. Vivint Solar Inc also issued its guidance for the fourth quarter in 2014. Shares of Vivint Solar Inc (NYSE:VSLR) declined to as low as $9.76 per share on November 28, 2014, respectively $8.01 per share on December 2, 2014.
On December 5, 2014, NYSE:VSLR shares closed at $10.03 per share.
Those who purchased shares of Vivint Solar Inc (NYSE:VSLR) have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North – Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com