Abraham, Fruchter & Twersky, LLP has commenced an investigation into possible violations of federal securities laws on behalf of purchasers of the common stock of Assisted Living Concepts, Inc. (“Assisted Living” or the “Company”) (NYSE: ALC).
On May 3, 2012, Assisted Living issued a press release announcing the Company would delay its previously announced May 3, 2012 earnings release and conference call discussion regarding its 2012 first quarter financial results.
Then on May 4, 2012, the Company issued a press release indicating it has retained counsel to investigate “possible irregularities” in connection with its lease with Ventas Realty, Limited Partnership (“Ventas Realty”), the landlord for eight assisted living facilities operated by Assisted Living. The Company also revealed that Ventas Realty commenced a lawsuit against it on April 26, 2012 in the United States District Court for the Northern District of Illinois seeking a declaratory judgment that Assisted Living has breached its obligations under the building lease and forfeited its right to possession. Specifically, Ventas Realty alleges that Assisted Living’s receipt of notices of intent to revoke permits from state regulators with respect to its licenses to operate three assisted living facilities in Georgia and Alabama subject to the lease constitutes a violation of the lease.
On this news, the price per share of Assisted Living is currently trading at an intraday low of $16.18, down $2.99, or more than 15% from the previous day’s close, on heavy trading volume.
If you own the common stock of Assisted Living and purchased your shares before May 4, 2012, and you would like to discuss these claims or if you have any questions concerning this notice or your rights as a potential class member or lead plaintiff, you may contact: Jack Fruchter, Esq., or Christopher Matthews, Esq., of Abraham, Fruchter & Twersky, LLP toll free at (800) 440-8986, or via e-mail at, respectively,
, or visit the firm’s website at
to learn more about this investigation.
Abraham, Fruchter & Twersky, LLP has extensive experience in securities class action cases, and the firm has been ranked among the leading class action law firms in terms of recoveries achieved by surveys of class action law firms conducted by Institutional Shareholder Services.