SAN FRANCISCO, June 13, 2016 (GLOBE NEWSWIRE) -- The following statement is being issued by Hagens Berman Sobol Shapiro LLP:
To: All persons or entities who purchased or otherwise acquired securities of Horsehead Holding Corporation (NASDAQ:ZINC) (“Horsehead” or the “Company”) between May 21, 2014 and February 2, 2016.
You have until June 21, 2016 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
If you suffered $100,000 or more in losses in Horsehead, contact Hagens Berman Sobol Shapiro LLP partner Reed Kathrein, who is leading the firm’s investigation by calling 510-725-3000, emailing ZINC@hbsslaw.com or visiting https://www.hbsslaw.com/cases/ZINC.
On February 2, 2016, Horsehead announced that it filed bankruptcy petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code. It disclosed in its restructuring plan that its Mooresboro zinc production facility would cost $81.9 million to get it back on track. The price of Horsehead shares fell 56% to close at $0.11 per share that day.
The next day, the Company announced that NASDAQ delisted the Company’s securities as of February 11, 2016. The Company’s share price fell over 54% to close at $0.06 per share on February 3, 2016.
Preceding the bankruptcy, Defendants represented that its Mooresboro zinc production facility was doing “better than internal projections” and that Horsehead was sufficiently liquid to sustain itself until Mooresboro was fully ramped up.
In January 2015, Horsehead issued an additional 5.75 million shares at $12.75 per share amidst positive statements about Mooresboro like, “We have not identified any insurmountable technical or operational obstacles that materially challenge the value proposition of our new zinc facility.”
But by January 2016, Defendants announced Horsehead would idle Mooresboro and terminate most of its employees.
“We’re focused on Horsehead’s January 23, 2015 secondary offering of shares to the public, and investors having no idea that Defendants essentially bet the Company on the seriously defective Mooresboro facility,” said Hagens Berman partner Reed Kathrein.
Whistleblowers: Persons with non-public information regarding Horsehead should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new SEC whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 510-725-3000 or email ZINC@hbsslaw.com.
About Hagens Berman
Hagens Berman is a national investor-rights law firm headquartered in Seattle, Washington with offices in 10 cities. The Firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the Firm and its successes can be found at www.hbsslaw.com. Read the Firm’s Securities Newsletter, and visit the blog. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
Contact: Reed Kathrein, 510-725-3000