A lawsuit was filed on behalf of investors in Loop Industries, Inc. (NASDAQ:LOOP) shares over alleged securities laws violations.

San Diego, CA -- (SBWire) -- 10/28/2020 --An investor, who purchased NASDAQ: LOOP shares, filed a lawsuit against Loop Industries, Inc over alleged violations of Federal Securities Laws in connection with certain allegedly false and misleading statements.

Investors who purchased shares of Loop Industries, Inc. (NASDAQ: LOOP) have certain options and for certain investors are short and strict deadlines running. Deadline: DECEMBER 14, 2020. NASDAQ: LOOP investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

Canada based Loop Industries, Inc. focuses on depolymerizing waste polyethylene terephthalate (PET) plastics and polyester fibers into base building blocks.

On October 13, 2020, a report was published alleging, among other things, that "[a] former Loop employee told us that Loop's scientists, under pressure from CEO Daniel Solomita, were tacitly encouraged to lie about the results of the company's process internally. We have obtained internal documents and photographs to support their claims." The report also stated that "Loop's previous claims of breaking PET down to its base chemicals at a recovery rate of 100% were 'technically and industrially impossible,'" according to a former employee. Moreover, the report alleged that "Executives from a division of key partner Thyssenkrupp, who Loop entered into a 'global alliance agreement' with in December 2018, told us their partnership is on 'indefinite' hold and that Loop 'underestimated' both costs and complexities of its process."

Shares of Loop Industries, Inc. (NASDAQ: LOOP) declined from $13.90 per share on October 5, 2020, to as low as $6.77 per share on October 14, 2020.

According to the complaint the plaintiff alleges on behalf of purchasers of Loop Industries, Inc. (NASDAQ: LOOP) common shares between September 24, 2018 and October 12, 2020, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between September 24, 2018 and October 12, 2020, the Defendants failed to disclose to investors that Loop scientists were encouraged to misrepresent the results of Loop's purportedly proprietary process, that Loop did not have the technology to break PET down to its base chemicals at a recovery rate of 100%, that, as a result, the Company was unlikely to realize the purported benefits of Loop's announced partnerships with Indorama and Thyssenkrupp, and that, as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

Those who purchased shares of Loop Industries, Inc. (NASDAQ: LOOP) 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

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.