INVESTOR ALERT: Expanded Investigation of LSB Industries, Inc. Announced by The Law Offices of Howard G. Smith
By Business Wire News
By Business Wire News
Law Offices of Howard G. Smith announces an expanded investigation on behalf of investors of LSB Industries, Inc. (“LSB” or the “Company”) (NYSE:LXU). The investigation concerns whether the Company violated federal securities laws by issuing materially misleading information regarding its operations and safety standards. Investors that have suffered damages following the recent LSB securities price decline are encouraged to contact Howard G. Smith, Esq. to discuss their legal rights.
The investigation concerns whether the Company failed to disclose the alleged lack of internal controls and other operational defects including high production costs and inefficient manufacturing practices.
On August 7, 2015, LSB, a manufacturer of chemical products for the agricultural, mining and industrial markets announced that the Strategic Committee of the LSB Board of Directors presented the board with a report and certain recommendations, “following an evaluation of the Company’s business strategy, corporate governance structure, related party transactions and other governance practices of the Company.” These recommendations included better transparency into LSB’s performance, an independent review of LSB’s corporate governance practices, including the compensation for all members of the Golsen family, the executive compensation structure and the shareholder rights plan.
The Chairman of the LSB Strategic Committee further disclosed that, “We look forward to seeing the benefits of these initiatives and continuing to work with the management team as it lowers production costs, improves manufacturing efficiency and drives sales growth which, we believe, will lead to enhanced profitability.”
On this news shares of LSB fell $12.09 per share, or 34%, to close on August 7, 2015 at $23.01 per share on volume of nearly two million shares.
Then on September 4, 2015, the Company announced that the Company’s President and Chief Executive Officer, Barry H. Golsen, had resigned effective immediately. Following the news of Mr. Golsen’s departure LSB shares declined in value thereby damaging investors.
If you purchased LSB securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at http://www.howardsmithlaw.com.
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