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SAN DIEGO, Aug. 24, 2021 (GLOBE NEWSWIRE) – The Shareholders Foundation, Inc. announces that legal action has been filed by an investor in Pershing Square Tontine Holdings, Ltd. (NYSE: PSTH).
Investors who purchased shares of Pershing Square Tontine Holdings, Ltd. and continue to hold one of their NYSE: PSTH shares, have certain options and should contact the Shareholders Foundation at [email protected] or call +1 (858) 779 – 1554.
On August 17, 2021, a lawsuit was filed against certain directors of Pershing Square Tontine Holdings, Ltd. and others. The plaintiff alleges violations of the Investment Company Act of 1940 (“ICA”) and the Investment Adviser Act of 1940 (“IAA”).
The Applicant claims that instead of paying reasonable fees and structuring them in the standardized and transparent manner required by the ICA and IAA, the Company indirectly paid its investment advisers, in the form of complex securities of the Company which has never been offered for purchase by the Company’s public investors.
In addition, the Plaintiff alleges that less than twelve months after the Company authorized the Promoter and the Defendants directors to purchase identical warrants on the PSTH shares, the Company agreed to redeem some of these warrants at a valuation which implied that the warrants were worth, in total, over $ 880 million, thirteen times what the sponsor and director defendants originally paid for them.
Further, the Plaintiff claims that the Defendants suggest that they can avoid the ICA and the IAA because, they say, PSTH is not an investment company but a PSPC by stating that the primary objective of the company is not to invest in securities but rather to acquire a business. However, the plaintiff claims that investing in securities is all that the company has done since its IPO and that Pershing Square Capital Management, LP (“PSCM”) is the company’s investment adviser under the IAA since PSTH does not have full-time employees of itself and therefore depends entirely on PSCM for its investment expertise and administrative resources.
The plaintiff, among other things, requested that the court make a declaratory judgment stating that PSTH is an investment company under the LIC and that PSCM is the investment advisor of the Company under the IAA and the LIC. .
Those who have purchased NYSE: PSTH shares should contact the Shareholders Foundation, Inc.
CONTACT:
Shareholders Foundation, Inc.
Michael daniels
+1 (858) 779-1554
[email protected]
3111 Camino Del Rio North
Office 423
San Diego, California 92108
The Shareholders Foundation, Inc. is a professional portfolio legal oversight and claims filing service that researches shareholder issues and informs investors about securities class actions, settlements, judgments and matters. ‘other legal news concerning the stock / financial market. The Shareholders Foundation, Inc. is not a law firm. The referenced cases, inquiries and / or settlements are not filed / initiated / reached and / or are not related to the Shareholders Foundation. The information is provided only as a public service. It is not intended as legal advice and should not be relied on.
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