Investors With Substantial Losses Have Opportunity to Lead the AdaptHealth Corp. Class Action Lawsuit
San Diego, Calif .– (Newsfile Corp. – Aug. 27, 2021) – Robbins Geller Rudman & Dowd LLP announces that AdaptHealth’s AdaptHealth Corp. f / k / a DFB Healthcare Acquisitions Corp. (NASDAQ: AHCO) (NASDAQ: AHCOW) and some of its top executives with violating the Securities Exchange Act of 1934 and seeking buyers of AdaptHealth securities between the 11th. f / k / a DFB Healthcare Acquisitions Corp., No. 21-cv-03382, was initiated in the Eastern District of Pennsylvania on July 29, 2021.
If you would like to serve as the lead plaintiff in the AdaptHealth class action, please complete your information by clicking here. You can also contact Attorney JC Sanchez of Robbins Geller by phone at 800 / 449-4900 or by email at [email protected]
CASE ALLEGES: Prior to its business combination with AdaptHealth, as described below, the DFB was a purpose acquisition company (“SPAC” for short), also known as a blank check company. On July 8, 2019, the DFB announced that it had reached a definitive business combination agreement with AdaptHealth, the third largest distributor of home medical devices in the United States. After the merger was completed, the DFB changed its name to “AdaptHealth Corp.”
The AdaptHealth class action alleges that, during the class action period, defendants made false and misleading statements and did not disclose that: (i) AdaptHealth misrepresented its organic growth trajectory by retrospectively inflating past organic growth numbers without disclosing the changes; in violation of the regulations of the US Securities and Exchange Commission (SEC); (ii) accordingly, AdaptHealth had materially overestimated its financial prospects; and (iii) as a result, AdaptHealth’s public statements at all relevant times have been materially false and misleading.
The story goes on
On July 19, 2021, Jehoshaphat Research released a report claiming that AdaptHealth is a “roll-up” company, or a company built primarily by the acquisition of smaller businesses with shared services or products that grow through its organic growth “[r]etroaktiv to change the organic growth figures of the past to a higher level without the change being announced. “In particular, the report states:[w]While management claims (and reflect consensus estimates) it is seeing 8-10% organic growth, AHCO is actually seeing double-digit organic decline. In our opinion, it is also taking steps to cover up this decline, which the SEC specifically bans. “The report suggested that AdaptHealth’s manipulation of its organic growth trajectory” was a blatant violation of non-GAAP disclosure requirements for the company “got into big trouble.” On the news, AdaptHealth’s share price fell nearly 6%, causing harm to investors.
LEAD APPLICATION: The Private Securities Litigation Reform Act of 1995 allows any investor who has purchased AdaptHealth securities during the class action period to seek appointment as the lead plaintiff in the AdaptHealth class action. A lead plaintiff is usually the applicant with the greatest financial interest in the legal protection sought by the alleged class, which is also typical and appropriate for the alleged class. A lead plaintiff is acting on behalf of all other group members in leading the AdaptHealth class action lawsuit. The lead plaintiff can choose a law firm of their choice to bring the AdaptHealth class action lawsuit. An investor’s ability to participate in a possible future collection of the AdaptHealth class action lawsuit does not depend on being the lead plaintiff.
Robbins Geller has set up a special SPAC task force to protect investors in blank check companies and seek redress for corporate misconduct. The SPAC Task Force consists of experienced litigation attorneys, investigators and forensic accountants and is dedicated to detecting and prosecuting fraud on behalf of aggrieved SPAC investors. The rise in blank check funding poses unique risks for investors. Robbins Geller’s SPAC Task Force represents the vanguard in ensuring integrity, honesty and equity in this rapidly evolving area of investment.
ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: With 200 attorneys in 9 offices across the country, Robbins Geller Rudman & Dowd LLP is the largest US law firm serving investors in securities class actions. Robbins Geller’s attorneys have secured many of the largest shareholder recoveries in history, including the largest securities class action of all time – $ 7.2 billion – in In re Enron Corp. Sec. Lit. The 2020 ISS Securities Class Action Services Top 50 Report ranked Robbins Geller first for getting $ 1.6 billion back for investors last year, more than double the amount paid by all other securities plaintiffs was reclaimed. Please visit https://www.rgrdlaw.com/firm.html for more information.
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Robbins Geller Rudman & Dowd LLP
655 W. Broadway, San Diego, CA 92101
JC Sanchez, 800-449-4900
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