PureCycle Technologies,Inc. (PCT) Failed to Inform Investors its Ironton Facility Experienced a Power Outage
A shareholder filed a class action on behalf of persons and entities that purchased or otherwise acquired PureCycle Technologies, Inc. (NASDAQ: PCT) securities between August 8, 2023 and September 13, 2023. PureCycle claims it is commercializing a patented purification recycling technology, originally developed by The Procter & Gamble Company (“P&G”), for restoring waste polypropylene into resin with near-virgin characteristics, called ultra-pure recycled resin.
According to the complaint, in early 2023, PureCycle claimed that it was finalizing construction and commissioning at its first commercial scale recycling facility (the “Ironton Facility”). On September 13, 2023, PureCycle disclosed that its Ironton Facility experienced a full plant power outage on August 7, 2023, which required the facility to halt operations. The Company further disclosed that it replaced a seal that purportedly failed as a result of the power outage, and initiated facility restart procedures on September 11, 2023. On this news, PureCycle’s stock price fell $1.395, or 18.4%, to close at $6.18 per share on September 14, 2023, on unusually heavy trading volume.
What Now: Similarly situated shareholders may be eligible to participate in the class action against PureCycle Technologies, Inc. Shareholders who want to act as lead plaintiff for the class must file their motion for lead plaintiff by November 28, 2023. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member. For more information, click here.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.