Kahn Swick & Foti, LLC (“KSF”) and KSF partner, former Attorney General of Louisiana, Charles C. Foti, Jr., remind investors that they have until October 15, 2021 to file lead plaintiff applications in securities class action lawsuits against SelectQuote, Inc. (NYSE: SLQT), if they purchased the Company’s shares between May 20, 2020 and August 25, 2021, inclusive (the “Class Period”) and/or pursuant to the Company’s May 2020 initial public offering. These actions are pending in the United States District Court for the Southern District of New York.
What You May Do
If you purchased shares of SelectQuote and would like to discuss your legal rights and how these cases might affect you and your right to recover for your economic loss, you may, without obligation or cost to you, contact KSF Managing Partner Lewis Kahn toll-free at 1-877-515-1850 or via email (lewis.kahn@ksfcounsel.com), or visit https://www.ksfcounsel.com/cases/nyse-slqt/ to learn more. If you wish to serve as a lead plaintiff in the class actions, you must petition the Court by October 15, 2021.
About the Lawsuits
SelectQuote and certain of its executives are charged with failing to disclose material information during the Class Period and/or in the Registration Statement and Prospectus issued in conjunction with the initial public offering, violating federal securities laws.
On May 11, 2021, the Company disclosed that its fourth quarter results would be impacted by a “negative cohort and tail adjustment" due to “lower second-term persistency [renewal rates] for the 2019 cohort,” which it attributed to increased “switching activity” in the Open Enrollment Period. On this news, the Company’s share price fell $5.50, or 20%, to close at $21.90 per share on May 12, 2021, on unusually heavy trading volume.
Then, on August 25, 2021, the Company disclosed that lower than anticipated policy renewal rates affected both the 2019 and 2020 cohorts, and that the Company was including a $65 million placeholder for the risk of an additional cohort tail adjustment the following year.
On this news, the Company’s share price plummeted an additional $6.46 per share, or 45%.
The first-filed case is Hartel v. SelectQuote, Inc., No. 1:21-cv-06903. A subsequently filed case, West Palm Beach Police Pension Fund v. SelectQuote, Inc., No. 1:21-cv-08279, expanded the class period.
About Kahn Swick & Foti, LLC
KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., is one of the nation’s premier boutique securities litigation law firms. KSF serves a variety of clients – including public institutional investors, hedge funds, money managers and retail investors – in seeking to recover investment losses due to corporate fraud and malfeasance by publicly traded companies. KSF has offices in New York, California, Louisiana and New Jersey.
To learn more about KSF, you may visit www.ksfcounsel.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20211008005496/en/
Contacts
Kahn Swick & Foti, LLC
Lewis Kahn, Managing Partner
lewis.kahn@ksfcounsel.com
1-877-515-1850
