An investigation on behalf of current long term investors in NYSE:MCP shares over possible breaches of fiduciary duty by certain officers and directors at Molycorp. was announced and NYSE:MCP stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 02/21/2012 -- The Shareholders Foundation announces that certain directors and officers of Molycorp, Inc. (NYSE:MCP) are under the investigation over breaches of fiduciary in connection with certain financial statement.
Investors who are current long term investors in Molycorp, Inc. (NYSE:MCP) shares, have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
A lawsuit was recently filed against Molycorp over alleged Securities Laws Violations for investors who purchased NYSE:MCP shares only between March 9, 2011 and November 10, 2011.
However an investigation for investors that currently hold NYSE:MCP shares and purchased those either within that time frame or (also) prior to March 2011 was announced by a law firm. The investigation for current NYSE:MCP stockholders seeks to determine whether certain directors and officers of Molycorp, Inc. breached their fiduciary in connection with allegations made in the lawsuit against Molycorp. According to that complaint filed in the U.S. District Court for the District of Colorado the plaintiff alleges that alleges that Molycorp, Inc. violated the Securities Exchange Act of 1934. Specifically, the plaintiff alleges that the defendants’ alleged false and misleading statements about the capability of Molycorp’s “Mountain Pass” mining operation and Molycorp’s earnings caused Molycorp common stock to trade at artificially inflated prices between March 9, 2011 and November 10, 2011
Molycorp, Inc. reported that its annual Revenue rose from $7.09million in 2009 to $35.16million in 2010, however its Net Loss increased from $28.59million for ’09 to $49.09million in 2010.
Shares of Molycorp, Inc. (NYSE:MCP) rose from roughly $12.30 in July 2010 to as high as $74.22 per share in April 2011.
Then on November 10, 2011, Molycorp, Inc reported its third quarter 2011 revenues and earnings results and announced a reduction in Mountain Pass production guidance for the fourth quarter of 2011 due to expected equipment downtime relating to Mountain Pass engineering and expansion issues.. The plaintiff alleges that the results were below analysts’ estimates
Molycorp’s stock NYSE:MCP price fell, dropping from $38.70 per share on November 10, 2011 to $33.45 per share on November 11, 2011, or 13.6%.
NYSE:MCP traded in the end of December 2011 at slightly below $23.50 per share and during February 15, 2012 as low as $25.58 per share.
Those who are current long term investors in Molycorp, Inc. (NYSE:MCP) shares, have certain options and should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 – 1554.
Shareholders Foundation, Inc.
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