Kuznicki Law PLLC notifies investors that a class action has commenced in the United States District Court for the Eastern District of New York on behalf of shareholders of British American Tobacco p.l.c (“BA Tobacco” or the “Company”) who purchased shares between February 9, 2023 and December 6, 2023.
BA Tobacco and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On December 6, 2023, the Company disclosed that it was taking a 25 billion Pound (around $31.5 billion USD) impairment on the cigarette brands it had acquired from Reynolds American Inc. in early 2017 due to “macro-economic headwinds impacting the U.S. combustibles industry,” which The Wall Street Journal referred to as “one of the biggest corporate write-offs in recent history,” noting the Company’s statement that its performance in the U.S. had been hindered by smokers switching to cheaper, nonpremium brands.
On this news, the price of BA Tobacco’s American Depositary Receipts fell $2.68 per share, or 8.88%, to close at $28.86 per ADR on December 6, 2023.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until March 25, 2024 to request that the court appoint them lead plaintiff.