Securities Class Action Suit Filed Against Macquarie Infrastructure Corporation
WASHINGTON, DC (April 25, 2018) — U.S. Market Advisors Law Group PLLC announces that a securities class action has been filed against Macquarie Infrastructure Corporation (“Macquarie” or the “Company”) (NYSE: MIC). The class action is on behalf of investors who acquired Macquarie stock between February 22, 2016 and February 21, 2018 (the “Class Period”).
Allegations Against Macquarie
The Complaint alleges that, during the Class Period, Defendants violated provisions of the Exchange Act by issuing false and misleading press releases, filings with the U.S. Securities and Exchange Commission (“SEC”), and statements during investor and analyst conference calls. Macquarie owns and operates a portfolio of infrastructure and infrastructure-like businesses. Macquarie’s most important business segment is its International-Matex Tank Terminals (“IMTT”) business, which provides bulk liquid storage and handling services at marine terminals in the United States and Canada.
Throughout the Class Period, Defendants misrepresented and concealed material risks facing the IMTT business. Defendants repeatedly emphasized IMTT’s “very strong” performance and “high” utilization rates. Defendants touted Macquarie’s “good visibility” into “macroeconomic factors influencing supply and demand” as evidence of IMTT’s stability, but concealed IMTT’s dependence on heavy residual oil, the use of which had been in decline for years. Rather than disclose the material risk to the Company presented by the decline in heavy residual oil products, Defendants downplayed Macquarie’s exposure to fluctuations in the use of petroleum products. Defendants also provided false assurances regarding the sustainability of Macquarie’s dividend.
Defendants’ misrepresentations and material omissions rendered investors unable to appreciate or assess the material risks to IMTT of shifting commodity demands, and the resultant impact to the Company’s dividend. When the truth regarding IMTT’s dependence on heavy residual fuel oils was finally revealed on February 21, 2018 and Macquarie announced that it would be slashing its dividend by 31%, the price of the Company’s stock declined significantly.
Pending Lead Plaintiff Deadline Approaching
Investors with losses have until June 25, 2018 to ask the Court to be appointed as Lead Plaintiff for the class. The Lead Plaintiff is a representative for absent members of the class. Investors do not need to seek appointment as Lead Plaintiff to share in any class recovery in this action. If you are a class member and there is a recovery for the class, you can share in that recovery as an absent class member. You may retain counsel of your choice to represent you in this action. Contact USMA Law Group to discuss this action.
About USMA Law Group
U.S. Market Advisors Law Group PLLC is a national law firm based in Washington, D.C. The firm represents investors worldwide in U.S. securities class action lawsuits.
Contact
David P. Abel
(202) 274-0237
[email protected]