NEWTOWN, Pa., May 09, 2023 (GLOBE NEWSWIRE) -- The law firm of Edelson Lechtzin LLP reminds purchasers of Medical Properties Trust, Inc. (“MPT” or the “Company”) (NYSE: MPW) common stock between March 1, 2022, and February 22, 2023, both dates inclusive (the “Class Period”) that only 34 days remain until the lead plaintiff deadline.
Investors who purchased Medical Properties Trust, Inc. common stock may move the U.S. District Court for the Southern District of New York to appoint them as lead plaintiff, no later than June 12, 2023. Please contact Edelson Lechtzin LLP at 844-696-7492 to discuss your investment losses, or by e-mail at elechtzin@edelson-law.com. A copy of the class action complaint can be viewed HERE.
Background on Medical Properties Trust, Inc.
MPT, headquartered in Birmingham, Alabama, is a real estate investment trust that leases its facilities to providers of healthcare services, including long-term acute care hospitals, regional and community hospitals, medical office buildings, and rehabilitation hospitals.
The Securities Fraud Claims
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects, including that Prospect Medical Holdings, Inc. (“Prospect”), a healthcare services company that leases and operates 13 of MPT’s facilities, was facing significant pressures affecting the profitability of its Pennsylvania properties. Consequently, there was a significant risk that Prospect would be unable to meet rental obligations it owed to MPT. At the time, Prospect was MPT’s third largest tenant. As a result, “given the elongated timing of the Pennsylvania recovery,” the Company was reasonably likely to record an impairment charge to the real estate value of the Pennsylvania properties.
On February 23, 2023, before the markets opened, MPT issued a press release detailing its fourth quarter and full year 2022 financial results. MPT disclosed an impairment of about $171 million on four properties leased to Prospect as well as a write-off of almost $112 million in unbilled rent for the same client. On this news, MPT’s stock price plummeted $0.80, or 8.7%, to close at $11.14 per share on February 23, 2023, injuring investors.
MPW shares have failed to recover losses since these disclosures. As of the May 8, 2023 market close, MPW stock was trading at $8.57 per share.
For more information, please contact:
Marc H. Edelson, Esq.
Eric Lechtzin, Esq.
EDELSON LECHTZIN LLP
411 S. State Street, Suite N-300
Newtown, PA 18940
Phone: 844-696-7492 or 215-867-2399 ext. 1
Email: medelson@edelson-law.com
Email: elechtzin@edelson-law.com
Web: www.edelson-law.com
Edelson Lechtzin LLP is a national class action law firm with offices in Pennsylvania and California. In addition to cases involving securities and investment fraud, our lawyers focus on class and collective litigation in cases alleging violations of the federal antitrust laws, employee benefit plans under ERISA, wage theft and unpaid overtime, data breaches, consumer fraud, and dangerous and defective drugs and medical devices.
This press release may be considered Attorney Advertising in some jurisdictions. No class has been certified in this case, so you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. Your ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.
