HAGENS BERMAN, NATIONAL TRIAL ATTORNEYS, Urges ATI Physical Therapy (ATIP/FAII) Investors with ...
SAN FRANCISCO, Aug. 28, 2021 (GLOBE NEWSWIRE) -- Hagens Berman urges ATI Physical Therapy, Inc. (NYSE: ATIP) investors and Fortress Value Acquisition Corp. II (NYSE: FAII) investors with losses in excess of $100,000 to submit your losses now.
ATI Physical Therapy, Inc. (ATIP/ FAII) Securities Class Action:
The investigation focuses on statements by ATI Physical Therapy, its senior management, Fortress, and others concerning ATI Physical Therapy’s financial performance, operations and business prospects leading up to and after its merger with special purpose acquisition company Fortress Value Acquisition Corp. II that closed on or about June 16, 2021.
More specifically, ATI Physical Therapy, senior management, and others have touted the company’s growth opportunities through new clinic openings and accelerated hiring.
But on July 26, 2021, slightly a month after the merger closed, ATI Physical Therapy reported disappointing Q2 2021 financial results and slashed its full year revenue expectations by as much as 12%, blaming the dismal outlook on accelerated attrition of physical therapists and a corresponding reduction in estimated new clinic openings.
The company also disclosed it “has determined that the revision to its 2021 forecast constitutes an interim triggering event that requires further analysis with respect to potential impairment to goodwill and trade name intangible assets.”
Then, on July 28, 2021, Barrington Research reportedly accused ATI of failing to provide “a good defense for why the company’s original guidance (which was officially maintained up until yesterday) ever made sense,” stated “[w]e are all shocked by what has unfolded at ATI,” and concluded “ATI has, unfortunately, fully earned the time we believe it will spend in the penalty box.”
Most recently, on Aug. 9, 2021, ATI announced its CEO (Labeed Diab) left the company effective immediately.
These events sent the price of ATI Physical Therapy shares crashing lower.
“We’re focused on investors’ losses and whether company insiders overstated ATI Physical Therapy’s asset values and expected 2021 revenues,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in ATI Physical Therapy or Fortress and have significant losses, or have knowledge that may assist the firm’s investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding ATI Physical Therapy or Fortress should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email ATIP@hbsslaw.com.
About Hagens Berman
Hagens Berman is a national law firm with eight offices in eight cities around the country and over eighty attorneys. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes is located at hbsslaw.com. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
Reed Kathrein, 844-916-0895