NEW YORK, Feb. 23, 2023 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a securities class action lawsuit has been filed in the United States District Court for the Middle District of Florida on behalf of all persons or entities who purchased the securities of Alico, Inc. (“Alico” or the “Company”) ( ALCO) between February 4, 2021 and December 13, 2022, both dates inclusive (the “Class Period”).
The Complaint alleges Defendants made false and/or misleading statements and/or failed to disclose that: (1) the Company had deficient disclosure controls and procedures and internal control over financial reporting; (ii) as a result, the Company had improperly calculated the Company’s deferred tax liabilities over a multi-year period; (iii) accordingly, the Company would likely be required to restate one or more of its previously issued financial statements; (iv) the foregoing would impede the timely completion of the audit of the Company’s financial results in advance of its year-ending earnings call.
On December 6, 2022, the Company announced that it was postponing its year-end earnings call, stating that “additional time is required for completion of the audit of its financial results for the period ended September 30, 2022 by its independent registered public accounting firm.” On this news, the price of the Company stock fell more than 10%.
On December 13, 2022, the Company announced that it was restating its previously issued financial statements for the quarters ended June 30, 2022, March 31, 2022, December 31, 2021, June 30, 2021, March 31, 2021, and December 31, 2020. The Company further announced that the Company’s Audit Committee “concluded that [Alico’s] previously issued Financial Statements can no longer be relied upon due to an error identified during the completion of the 2022 10-K.” Specifically, the Company stated that “[t]he error that led to the Audit Committee’s conclusion relates to the calculation of the deferred tax liabilities for the fiscal years 2015 through 2019, which resulted in a cumulative reduction in [Alico’s] deferred tax liability, and a corresponding cumulative increase in retained earnings, of approximately $2,512,000 on [Alico’s] balance sheet as of September 30, 2022.” On this news, the price of the Company stock declined by more than 9%, further damaging investors.
Investors who purchased or otherwise acquired shares of Alico should contact the Firm prior to the April 18, 2023 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at [email protected] or [email protected].
Please visit our website at http://www.gme-law.com for more information about the firm.
