Lieff Cabraser Heimann & Bernstein, LLP announces that class action litigation has been filed on behalf of investors who purchased or otherwise acquired the securities of Conagra Brands, Inc. (“Conagra” or the “Company”) (NYSE: CAG) between June 27, 2018 and December 19, 2018, inclusive (the “Class Period”), including purchasers in Conagra’s secondary public offering of common stock (the “Offering”) on or about October 9, 2018.
If you purchased or otherwise acquired Conagra securities during the Class Period, including in the Offering, you may move the Court for appointment as lead plaintiff by no later than April 23, 2019. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the actions will not be affected by your decision of whether to seek appointment as lead plaintiff. You may retain Lieff Cabraser, or other attorneys, as your counsel in the actions.
Conagra investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff should click here or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.
Background on the Conagra Securities Class Litigation
Conagra, headquartered in Chicago, manufactures and markets packaged foods for retail consumers, restaurants, and institutions and has a portfolio of well-known food brands such as Slim Jim and Orville Redenbacher’s. In June 2018, Conagra announced that it would acquire Pinnacle, another food company with its own portfolio of brands. To finance that transaction, Conagra announced a secondary public stock offering in October 2018 to raise more than $600 million.
The action alleges that, throughout the Class Period, Conagra and certain of its senior executives misrepresented and failed to disclose to the market that: i) Conagra performed inadequate due diligence in connection with its acquisition of Pinnacle; ii) the performance of Pinnacle’s leading brands was not deteriorating due to intensified competition, but rather to its own subpar innovation and executional missteps; iii) Pinnacle’s business was performing so poorly that it had to push promotional deals to retailers to try and boost sales; and iv) as a result of the foregoing, Conagra’s public statements regarding its acquisition of Pinnacle were materially false or misleading when made.
The market began to learn of Conagra’s alleged misconduct on December 20, 2018, when the Company announced that net sales for the Pinnacle segment of its business were “below expectations due to weak performance across a range of significant brands.” In a conference call that same day, Conagra’s Chief Executive Officer and President, Sean Connolly, stated that there had been a “deterioration in the legacy Pinnacle business over the course of the calendar year 2018” as “growth stalled” for Birds Eye, Duncan Hines, and Wish-Bones. Connolly stated that “Pinnacle overextended new items in the same demand pools, favored high margins over high-quality and highly competitive products and missed some major consumer trends,” and acknowledged that “the challenges that the Pinnacle business face have been largely self-inflicted due to subpar innovation and executional missteps.” Following this news, between the close on December 19 and December 24, 2018, Conagra’s stock price fell $8.13, or nearly 28%, to close at $20.96 on December 24, 2018.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.
The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years. In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.” Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.” In late 2016, Benchmark Litigation named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America.”
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Source/Contact for Media Inquiries Only
Sharon M. Lee
Lieff Cabraser Heimann & Bernstein, LLP