Levi & Korsinsky announces the filing of a class action lawsuit in the USDC for the Southern District of New York on behalf of shareholders of La Quinta Holdings Inc. (“La Quinta” or the “Company”) (NYSE: LQ) who purchased shares pursuant to the Company’s Secondary Public Offering on or about March 24, 2015 or between February 25, 2015 and September 17, 2015.
The complaint alleges, among other allegations, that documents filed in connection with the SPO failed to disclose material trends, events and/or uncertainties, including that: (a) the Company was experiencing declining customer demand in its key Texas market; (b) there were on-going disruptions caused by the transitioning of the Company’s call center operations; and (c) the Company was experiencing declining customer demand and market share losses due in part to certain of La Quinta’s facilities being outdated and in need of major renovation, thus necessitating significant capital expenditures and operational disruptions.
On July 29, 2015, the Company announced disappointing financial results for the second quarter of 2015. Then on September 17, 2015, La Quinta further reduced its 2015 financial guidance and announced that its President and CEO had stepped down pursuant to a mutual agreement with the Board of Directors.
If you suffered a loss in La Quinta you have until June 24, 2016 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
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