Lack Of Loss Causation Showing Hinders Investor’s Stock-Drop Suit Appeal

Mealey's (March 1, 2021, 1:27 PM EST) -- NEW YORK — A federal district court did not err when it granted a motion to dismiss filed by a distributor and provider of supply chain management services to the global aerospace industry and its former board of directors in an investor class action because the investor failed to plead loss causation in alleging that the defendants issued false and misleading valuation projections in a proxy statement issued in connection with the company’s acquisition by another party, a Second Circuit U.S. Court of Appeals panel ruled Feb. 26 in affirming....