Nation’s best class action lawyers line up Slater & Gordon
23 December 2015
After months of carefully monitoring events at ASX-listed law firm Slater & Gordon (SGH), Australia’s leading class action law firm, Maurice Blackburn Lawyers, has today confirmed it is opening registrations to aggrieved shareholders wanting to pursue a class action.
The announcement has been made after long and serious consideration of the series of events that have plagued SGH this year. The relevant period of acquisition for participants is Wednesday 1 April 2015 to Wednesday 16 December 2015 (inclusive).
SGH shares have lost almost 90 per cent of their value since April 2015 as a series of questions have been raised about its acquisition in the United Kingdom of the Professional Services Division of Quindell PLC for approximately A$1.3 billion, the impact of proposed legislative changes affecting the personal injury legal market in the UK, and most recently the withdrawal of an earnings guidance that had been emphatically re-affirmed only weeks ago.
Class actions Principal at Maurice Blackburn Jacob Varghese said that registrations were now open to aggrieved shareholders in the listed law firm, via a simple web form located at www.mauriceblackburn.com.au/slaterandgordon.
“Shareholders in Slater & Gordon have a right to be profoundly disappointed in last week’s announcement and subsequent further price drop, after having already suffered the company having lost most of its value since April this year,” Mr Varghese said.
“To be walking away from the earnings guidance it reaffirmed only a few weeks ago makes it increasingly hard to believe that the company has proper systems in place or that the guidance should have been given in the first place.
“We now know SGH has made admissions to the Australian Securities Exchange that the company had prior knowledge of last week’s announcement, and it appears highly likely that among the throng of management issues it has grappled with this year are further breaches.
“As Australia’s number one class actions law firm, we know that poor business decisions or a price drop of themselves don’t satisfy the requirements of launching a class action, but we are now firmly of the view that the activities of SGH require proper scrutiny by the best.
“So today we have opened an online web portal for shareholders to register their interest and their relevant holdings, because we will need those details in the likely event that we proceed with a shareholder class action.”