Medical Properties Trust, Inc.
The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Southern District of New York on behalf of those who acquired Medical Properties Trust, Inc. (“Medical Properties” or the “Company”) (NYSE: MPW) securities during the period from May 23, 2023 through August 17, 2023, inclusive (the “Class Period”). Investors have until November 28, 2023 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
On August 18, 2023, the Wall Street Journal published an article entitled "Cracks Deepen for America's Biggest Hospital Landlord: Struggling Tenants, a Bailout on Hold." That same day, Medical Properties issued a press release responding to the Wall Street Journal article, in which the Company downplayed the DMHC Order as a "standard, expected, and non-controversial part of the approval process for [the Recap Transaction]" and justified the Company's non-disclosure of the DMHC Order to shareholders by stating that the "DMHC's request was deemed immaterial to [MPW's] financials and thus did not require disclosure." On this news, the price of PureCycle shares declined by $0.57, or approximately 7.6%, from $7.50 per share to close at $6.93 on August 18, 2023.
The lawsuit alleges that, throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose that: (i) the Recap Transaction was subject to regulatory approval and had in fact been placed on hold by the DMHC; (ii) accordingly, Medical Properties had misrepresented the regulatory process for the Recap Transaction's approval; (iii) as a result of the foregoing, Medical Properties overstated the approval prospects and benefits of the Recap Transaction; and (iv) as a result, the Company's public statements regarding the Recap Transaction were materially false and misleading at all relevant times.
On August 18, 2023, the Wall Street Journal published an article entitled "Cracks Deepen for America's Biggest Hospital Landlord: Struggling Tenants, a Bailout on Hold." That same day, Medical Properties issued a press release responding to the Wall Street Journal article, in which the Company downplayed the DMHC Order as a "standard, expected, and non-controversial part of the approval process for [the Recap Transaction]" and justified the Company's non-disclosure of the DMHC Order to shareholders by stating that the "DMHC's request was deemed immaterial to [MPW's] financials and thus did not require disclosure." On this news, the price of PureCycle shares declined by $0.57, or approximately 7.6%, from $7.50 per share to close at $6.93 on August 18, 2023.
The lawsuit alleges that, throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose that: (i) the Recap Transaction was subject to regulatory approval and had in fact been placed on hold by the DMHC; (ii) accordingly, Medical Properties had misrepresented the regulatory process for the Recap Transaction's approval; (iii) as a result of the foregoing, Medical Properties overstated the approval prospects and benefits of the Recap Transaction; and (iv) as a result, the Company's public statements regarding the Recap Transaction were materially false and misleading at all relevant times.