NEW YORK, Feb. 03, 2024 (GLOBE NEWSWIRE) — Pomerantz LLP announces that a class action lawsuit has been filed against British American Tobacco p.l.c. (“BAT” or the “Company”) (NYSE: BTI). Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
The class action concerns whether BAT and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
You have until March 25, 2024, to ask the Court to appoint you as Lead Plaintiff for the class if you are a shareholder who purchased or otherwise acquired BAT securities during the Class Period. A copy of the Complaint can be obtained at www.pomerantzlaw.com.
[Click here for information about joining the class action]
In January 2017, BAT, which already had a 42% stake in Reynolds American Inc. (“Reynolds”), took over the remaining interest in Reynolds for $49.4 billion dollars, valuing Reynolds at around $86 billion. This resulted in Reynolds becoming a BAT subsidiary. In doing so, BAT took control of the Camel, Newport, and Natural American Spirit cigarette brands (the “Premium American Cigarette Brands” or the “Brands”), among others, which are considered to be premium cigarettes.
On December 6, 2023, BAT issued a press release announcing that it was taking a 25 billion Pound (or around $31.5 billion USD) impairment (the “Impairment”) on the cigarette brands it acquired from Reynolds. It stated, in relevant part: “Consistent with our vision to ‘Build a Smokeless World’, and in combination with the current macro-economic headwinds impacting the U.S. combustibles industry, in 2023 we will take an accounting non-cash adjusting impairment charge of around £25bn. This accounting adjustment mainly relates to some of our acquired U.S. combustibles brands, as we now assess their carrying value and useful economic lives over an estimated period of 30 years. Accordingly, we will commence amortisation of the remaining value of our U.S. combustibles brands from January 2024.”
On this news, BAT’s American depositary receipt (“ADR”) price fell $2.68 per ADR, or 8.88%, to close at $28.86 on December 6, 2023.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, 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, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz 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 billions of dollars in damages awards on behalf of class members. See www.pomlaw.com.
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CONTACT:
Danielle Peyton
Pomerantz LLP
dpeyton@pomlaw.com
646-581-9980 ext. 7980
