SAN FRANCISCO, Feb. 18, 2020 (GLOBE NEWSWIRE) -- Hagens Berman urges investors in Celanese Corporation (NYSE: CE) who have suffered significant losses to submit their losses now. The firm is actively investigating whether Celanese violated federal securities laws, and certain investors may have valuable claims.
Celanese Corporation (CE) Investigation:
The investigation centers on whether Celanese and senior executives concealed that; (i) the Company’s subsidiaries were involved in unlawful activities relating to certain raw material purchases; (ii) the foregoing increased the risk of a criminal investigation into Celanese; and (iii) Celanese’s financial performance was in part the product of unlawful conduct and thus unsustainable.
In past years, Celanese and senior management touted the Company’s “strong performance,” attributing the results in part to “lower raw material costs.”
But on July 25, 2017, the Company disclosed that the European Commission had opened a competition law investigation involving certain Celanese subsidiaries with respect to certain raw material purchases.
Then, on Jan. 30, 2020, the Company reported disappointing full year and fourth quarter 2019 financial results. Scott Richardson, the Company’s CFO, blamed the poor performance on an $89 million reserve the Company booked “based on information received from the European Commission regarding its competition law investigation.”
These disclosures caused the price of Celanese shares to fall sharply.
“We’re focused on investors’ losses and whether Celanese concealed its involvement in anticompetitive conduct with respect to its subsidiaries’ raw material purchases,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you purchased shares of Celanese and suffered significant losses, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Celanese should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email CE@hbsslaw.com.
About Hagens Berman
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Reed Kathrein, 844-916-0895