NEW YORK, July 17, 2019 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a federal securities class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of all persons or entities that purchased the common stock of CannTrust Holdings Inc. CTSTTRST ("CannTrust" or the "Company") on behalf of purchasers of the Company's securities between November 14, 2018 and July 5, 2019, inclusive (the "Class Period").
Shareholders who have incurred losses in CannTrust Holdings Inc. securities are urged to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774. You may obtain additional information concerning the action on our website, www.whafh.com.
If you purchased shares of CannTrust Holdings Inc., you may, no later than September 9, 2019, request that the Court appoint you lead plaintiff of the proposed class.
In addition, investors who purchased shares of CannTrust Holdings Inc. shares on the Toronto Stock Exchange are encouraged to contact the firm to obtain additional information about potential actions to be filed on behalf of shareholders who purchased on this exchange.
The filed complaint alleges that CannTrust issued a series of false and misleading statements to investors during the Class Period, and failed to disclose:
- that the Company was growing cannabis in its Pelham greenhouse while applications for regulatory approval were still pending;
- that the Company's Pelham greenhouse did not comply with certain regulations;
- that, as a result, the Company was reasonably likely to face an inventory hold by Health Canada until the Pelham facility becomes compliant with applicable regulations; and
- that, as a result, the Company's customers would face shortages and would likely seek product from CannTrust's competitors.
On July 8, 2019, the Company disclosed that Health Canada found that its greenhouse facility in Pelham, Ontario is non-compliant with certain regulations. As a result, Health Canada placed a hold on 5,200 kilograms of dried cannabis harvested from the unlicensed rooms, along with an additional 7,500 kilograms voluntarily held by the Company, until the facility becomes compliant.
Following this news, shares of the Company's stock fell US$1.11 per share, or over 22% in value, to close on July 8, 2019 at US$3.83 per share.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein Adler Freeman & Herz LLP by telephone at (800) 575-0735, via e-mail at classmember@whafh.com, or visit our website at www.whafh.com.
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Contact:
Wolf Haldenstein Adler Freeman & Herz LLP
Gregory Stone, Director of Case and Financial Analysis
Email: gstone@whafh.com or classmember@whafh.com
Tel: (800) 575-0735 or (212) 545-4774
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