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ARNC.US
id: 1480

Arconic (ARNC) Share Buyback and Acquisition Misrepresentation Case

S.D. New York
Court
1:25-cv-00863
Case number
04/19/2022
Class period Start
05/03/2023
Class period End
03/31/2025
Lead Plaintiff motion deadline
  • $ARNC investors filed a lawsuit against Arconic, alleging the company misled shareholders by failing to disclose acquisition offers while repurchasing shares at lower prices.
  • On May 4, 2023, Arconic confirmed its sale to Apollo at $30 per share, leading to a 28.3% stock increase.
  • $ARNC investors can join this case to be notified about potential recovery.
Case Details:

Between April 19, 2022, and May 3, 2023, Arconic assured investors of its strong financial position and continued stock repurchase program. However, during this period, the company failed to disclose multiple acquisition offers from Apollo Global Management, which valued the stock significantly higher than its market price.

In April 2022, Apollo made an initial offer to acquire Arconic for $34–$36 per share, but the company did not disclose this to shareholders. Later, in December 2022, Apollo submitted a revised offer at $30 per share, yet Arconic continued its share buyback program. Between June 2022 and January 2023, Arconic repurchased over 6.4 million shares at prices significantly below Apollo’s offers, preventing shareholders from realizing a fair value for their shares.

On February 28, 2023, The Wall Street Journal revealed Apollo’s acquisition interest, causing Arconic’s stock to jump 21.5%. Finally, on May 4, 2023, Arconic confirmed its sale to Apollo at $30 per share, leading to another 28.3% stock increase. Investors who sold their shares before these disclosures suffered financial losses due to Arconic’s failure to provide material information.

Based on these events, $ARNC investors filed a lawsuit against Arconic, claiming the company:
  • It misled shareholders by failing to disclose acquisition offers while repurchasing shares at lower prices.
  • It created artificially low stock prices, harming investors who sold before the buyout news became public.
Investors believe Arconic concealed critical acquisition discussions.
Case Status
Lead Plaintiff Submission
Alleged Offence
Misleading Statements
Financial Misrepresentation
Failure to Disclose
Suspected Party
Directors
Management
Security Type
Stocks
Trade Direction
Short
Shock Event Date
02/28/2023
Filing date
01/29/2025
Lead Plaintiff Deadline
03/31/2025
Collecting participants…

Arconic Corp

Arconic Corporation manufactures and sells fabricated aluminum sheets, plates, extrusions, and architectural products and systems in the United States and internationally. It operates through three...

    Ticker
    ARNC.US
    ISIN
    US03966V1070
    CIK
    0001790982
    Sector
    Industrials
    Industry
    Metal Fabrication
    Country
    USA
    Address
    201 Isabella Street, Pittsburgh, PA, United States, 15212-5872