#None #Atkore Inc. #ATKR #anticompetitive

Atkore Inc. and Antitrust Allegations: The Class Action Unveiled

Overview
In a significant legal development, Atkore Inc. (NYSE: ATKR), a leading manufacturer in the electrical products sector, faces a class action lawsuit tied to claims of improper revenue recording influenced by anticompetitive practices. This lawsuit, initiated by the Westchester Putnam Counties Heavy Highway Laborers Local 60 Benefits Fund, targets investors who purchased Atkore stock between February 1, 2024, and February 3, 2025. The forthcoming lawsuit raises serious concerns about Atkore's operational integrity and investor trust.

Background on Atkore Inc.

Atkore Inc. is well-known for its wide array of products, including metal conduit and fittings, plastic piping solutions, and international cable management systems. Throughout the years, Atkore has consistently emphasized the competitive nature of its market and claimed to maintain robust internal controls over its financial reporting, striving to adhere to generally accepted accounting principles. These statements aim to reassure stakeholders of the integrity of the company’s financial disclosures.

Allegations of Anticompetitive Conduct

The crux of this lawsuit hinges on allegations of a price-fixing scheme among PVC pipe manufacturers. The complaint suggests that Atkore systematically colluded to fix the prices of PVC pipes in the United States through exchanges of confidential data, particularly involving a weekly report called 'PVC Pipe Weekly' produced by Oil Pipe Information Service, LLP (OPIS). Legal representatives for the plaintiffs contend that these actions resulted in artificially inflated pricing for PVC products, distorting market dynamics and harming investors who relied on publicly available financial statements.

Investor Reactions and Market Impact

The situation escalated when a short-selling firm, ManBear, released a report on July 24, 2024, alleging that Atkore and three other PVC pipe producers manipulated pricing information to benefit financially from inflated prices, an assertion that Atkore's CEO rebutted, labeling the claims as unfounded. However, the fallout from these allegations was swift and severe: on February 4, 2025, following poor Q1 financial results that fell short of analysts' expectations, Atkore's stock price plummeted by $15.59, representing a 20% decline and erasing over $525 million in shareholder value. This dramatic shift in value underscored the financial ramifications of the legal challenges Atkore now faces.

Legal Developments Ahead

As the case unfolds, investors who believe they suffered losses and those who have information potentially beneficial to the investigation are encouraged to come forward. Hagens Berman, the law firm representing the plaintiffs, has stated the importance of holding Atkore accountable, asserting that misleading statements and undisclosed behaviors surrounding its pricing policies need thorough examination. The firm has expressed concern over Atkore's potential misleading of investors regarding the company’s activities and how these may have unduly amplified revenues during the class period.

Conclusion

The class action currently presents a formidable challenge for Atkore Inc., not only in terms of financial stability but also regarding sustaining investor confidence. With a trial looming, the outcome will likely have significant implications for the company's operations and reputation in the competitive electrical products landscape. Investors and stakeholders will be keenly watching how these unprecedented allegations will unfold in the legal arena, as they could set critical precedents in corporate governance and market ethics.