NEW YORK, March 18, 2016 /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against Primero Mining Corp. ("Primero" or the "Company") (NYSE: PPP) and certain of its officers. The class action, filed in United States District Court, Central District of California, and docketed under 16-cv-01095, is on behalf of a class consisting of all persons or entities who purchased Primero securities between October 5, 2012 and February 3, 2016 inclusive (the "Class Period"). This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934 (the "Exchange Act").
If you are a shareholder who purchased Primero securities during the Class Period, you have until April 15, 2016 to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at firstname.lastname@example.org or 888.476.6529 (or 888.4-POMLAW), toll free, ext. 9980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and number of shares purchased.
Primero is a Canadian-based gold mining company which operates mines in Canada and Mexico. Primero has a portfolio of development-stage and exploration projects.
On August 6, 2010, Primero acquired the San Dimas gold-silver mine, mill, and related assets. Primero's Mexican subsidiary, Primero Empresa Minera, S.A. de C.V. ("PEM"), owns and operates the San Dimas mine.
In October 2011, Primero's Mexican subsidiary, Primero Empresa Minera, S.A. de C.V. ("PEM"), submitted an Advance Pricing Agreement ("APA") to the Mexican tax authorities, Servicio de Administración Tributaria ("SAT") asking for a ruling to confirm whether the Company was properly recording revenue and taxes from sales under Primero's silver purchase agreement with Silver Wheaton Corp. ("Silver Wheaton"). On October 5, 2012, the Company announced that it had received a positive ruling from the SAT with repect to the APA.
The Complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, prospects and performance. Specifically, during the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) PEM was inappropriately recording revenues and taxes from sales under its silver purchase agreement between Primero and Silver Wheaton; and (2) as a result of the foregoing, the Company's public statements were materially false and misleading and/or lacked a reasonable basis at all relevant times.
On February 3, 2016, the Company issued a press release, announcing, among other things, that the SAT served a legal claim on PEM seeking to nullify the APA filed by Primero in October 2011 and issued by the SAT in 2012.
On this news, the Company's shares fell $0.74 per share or over 28% to close at $1.89 per share on February 4, 2016.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and Los Angeles, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
CONTACT: Robert S. Willoughby Pomerantz LLP email@example.com
SOURCE Pomerantz LLP