The Shareholders Foundation announces that an investor in shares of Controladora Vuela Co Avcn SA CV (ADR)(NYSE:VLRS) filed a lawsuit in the U.S. over alleged violations of Federal Securities Laws in connection with Controladora Vuela Compañía de Aviación, S.A.B. de C.V. / Volaris Aviation Holding Company’s initial public offering (“IPO”) on or about September 18, 2013.
Investors who purchased a significant amount of shares of Controladora Vuela Co Avcn SA CV (ADR) (NYSE:VLRS), have certain options and for certain investors are short and strict deadlines running. Deadline: April 27, 2015. NYSE:VLRS investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 – 1554.
On June 6, 2013, on June 6, 2013, Volaris filed a Registration Statement with the Securities and Exchange Commission (“SEC”), which would later be utilized for the IPO following several amendments in response to comments by the SEC and on September 17, 2013, the SEC declared the Company’s Registration Statement effective and the Company sold 226,469,000 ADSs for $12.00 each.
According to the complaint the plaintiff alleges on behalf of purchasers of Volaris Aviation Holding Company (NYSE:VLRS) Ordinary Participation Certificates in the form of American Depositary Shares (“ADSs”) in and/or traceable to the Company’s IPO, that Volaris Aviation Holding Company and certain of its officers and directors and the underwriters of its IPO with violations of the Securities Act of 1933. More specifically, the plaintiff alleges that the Registration Statement negligently contained financial statements that were presented in violation of applicable accounting standards and the Company’s publicly disclosed accounting policies. In addition, the plaintiff claims that the Registration Statement failed to disclose certain material events known to defendants that caused the financial information reported in the Registration Statement not to be indicative of Volaris’s future operating results. The plaintiff says that these material events included the financial effects ensuing from a change in the Company’s airline reservation system and the an expansion of competition in the Tijuana and Guadalajara, Mexico markets, which was having a material adverse effect on the Company’s revenues and profit margins at the time of the IPO.
Shares of Controladora Vuela Co Avcn SA CV (Volaris Aviation Holding Company) shares traded as high as $14.99 per share in early October 2013.
On February 25, 2014, Controladora Vuela Co Avcn SA CV (Volaris Aviation Holding Company) reported its fourth quarter and full year 2013 results. Controladora Vuela Co Avcn SA CV (Volaris Aviation Holding Company) reported that its annual Total Revenue rose from $594.58 million in 2011 to $870.74 million in 2013 and that its Net Loss of $19.66 million in 2011 turned into a Net Income of $17.99 million in 2013.
Shares of Controladora Vuela Co Avcn SA CV (Volaris Aviation Holding Company) declined from almost $15 per share in December 2013 to as low as under $7 per share in April 2014.
Those who purchased shares of Controladora Vuela Co Avcn SA CV (ADR)(NYSE:VLRS) 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