Shareholders Strike Back
Led by the El Paso Firemen & Policemen’s Pension Fund, San Antonio Fire & Police Pension Fund, and the Indiana Public Retirement System, the plaintiffs argued that InnovAge’s IPO materials omitted material risks and painted an overly rosy picture of compliance and operations.
The lawsuit also targeted underwriters like J.P. Morgan Securities LLC and Barclays Capital Inc., accusing them of failing to adequately flag operational red flags during the IPO process.
In their motion for approval, plaintiffs’ attorneys said the $27 million deal represents a “substantial percentage of the maximum realistically recoverable damages,” and emphasized the value of securing immediate relief versus rolling the dice on extended trial proceedings.
Legal Teams at the Helm
The plaintiffs are represented by a powerhouse team from Cohen Milstein Sellers & Toll PLLC, including Julie G. Reiser, Molly Bowen, and others, alongside Fairfield & Woods PC. The legal team has requested up to 20% of the settlement in fees, plus $800,000 in expenses.
The underwriters are defended by a Freshfields LLP team led by Mary Eaton, Nicholas A. Caselli, and Abhinaya Swaminathan.
