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Class Action Lawsuit Filed Against Lineage, Inc.

Overview

A significant development has emerged for investors of Lineage, Inc. (NASDAQ: LINE) as Robbins Geller Rudman & Dowd LLP has announced an opportunity for those suffering substantial losses to step forward as lead plaintiffs in a class action lawsuit. This legal action is concerning the company's initial public offering (IPO) which took place in July 2024. Investors can join this movement until September 30, 2025.

The Lawsuit Background

The lawsuit, titled City of St. Clair Shores Police and Fire Retirement System v. Lineage, Inc., alleges multiple violations of the Securities Act of 1933 by Lineage and certain executives associated with the IPO. The core of the allegations revolves around claims that the registration statement issued during the IPO was misleading and failed to disclose critical information about Lineage's business operations and performance.

Lineage is known as a Maryland REIT specializing in temperature-controlled cold-storage facilities, and it successfully raised over $5 billion during its IPO by selling more than 65 million shares at a price of $78 each.

Key Allegations

According to the lawsuit, several critical misrepresentations were made:
1. Weakening Demand: It was alleged that Lineage was experiencing a decline in customer demand due to an increase in cold-storage supply and changes in consumer behavior post-COVID-19.
2. Unsustainable Price Increases: Prior to the IPO, Lineage reportedly raised prices that could not be maintained amid weakening demand.
3. Inability to Adapt: The claims suggested Lineage could not effectively counteract adverse market trends through operational efficiencies or minimum storage guarantees.
4. Misleading Promises: Contrary to the claims made in the registration statement regarding growth and profitability, the company was allegedly facing stagnant or decreasing revenue and occupancy rates.
5. Impaired Business Prospects: As a result of the aforementioned points, the financial outlook and business prospects of Lineage were significantly damaged, directly affecting stock performance.

Since the IPO, the stock price has plummeted to approximately $40 per share, illustrating a drastic reduction from the initial offering price, reaffirming the allegations of financial misrepresentation.

The Lead Plaintiff Process

Under the Private Securities Litigation Reform Act of 1995, any investor who purchased Lineage common stock traceable to the registration statement during the IPO is eligible to apply to serve as the lead plaintiff. This role is crucial as it involves directing the class action lawsuit and representing the interests of all class members. Importantly, an investor does not need to be a lead plaintiff to benefit from any potential recovery outcomes of the lawsuit.

About Robbins Geller

Robbins Geller Rudman & Dowd LLP stands as one of the preeminent law firms globally, focusing on investor rights in securities fraud and class-action litigations. Recognized for obtaining substantial financial relief for investors, the firm has consistently ranked highly in securing class-action settlements. Their track record, particularly in handling complex securities-related cases, positions them as a formidable advocate for investors seeking justice.

Conclusion

Investors in Lineage, Inc. who believe they have incurred substantial losses are encouraged to consider participating in this class action lawsuit. As the case progresses, it may set important precedents regarding corporate accountability and transparency in financial disclosures. For those wishing to learn more or join this lawsuit, additional information is available through Robbins Geller’s official channels.

For more details, you can contact J.C. Sanchez or Jennifer N. Caringal via phone or email:

• - Phone: 800-449-4900
• - Email: [email protected]

Legal avenues are being pursued to ensure that investors have a platform to seek potential redress against misleading corporate practices.

Visit Robbins Geller for more details.