The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise acquired First Horizon Corporation Bank (“First Horizon”) (NYSE: FHN) securities between February 28, 2022 and May 3, 2023, inclusive (the “Class Period”). First Horizon investors have until July 21, 2023 to file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here to participate.
On March 1, 2023, First Horizon disclosed that TD Bank was unable to timely close a transaction to purchase First Horizon due to TD Bank’s inability to obtain the necessary regulatory approvals. On this news, First Horizon’s stock price fell $2.63, or 10.6%, to close at $22.14 per share on March 1, 2023, thereby injuring investors.
Then, on May 4, 2023, before the market opened, First Horizon and TD Bank announced that they had agreed to terminate the transaction, explaining that TD Bank did not “have a timetable for regulatory approvals to be obtained” and that there was “uncertainty as to when and if these regulatory approvals [could] be obtained.” On this news, First Horizon’s stock price fell $4.99, or 33.2%, to close at $10.06 per share on May 4, 2023, thereby injuring investors further.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) TD Bank had deficient controls over AML and suspicious transaction reporting; (2) that the lack of controls posed a significant risk to the closing of the First Horizon acquisition; and (3) that the deficient AML controls actually caused delay in obtaining the regulatory approvals for the First Horizon acquisition. As a result, Defendants’ positive statements about TD Bank’s risk culture and its ability to timely close the First Horizon transaction were materially false and misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased First Horizon securities during the Class Period, you may move the Court no later than July 21, 2023 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you purchased First Horizon 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 Frank R. Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007, by email to firstname.lastname@example.org, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
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The Law Offices of Frank R. Cruz Announces the Filing of a Securities Class Action on Behalf of First Horizon Corporation (FHN) Investors