This is a securities fraud class action lawsuit against General Electric and certain of its officers.
The class action complaint asserts that during an investor conference call on September 25, 2008, General Electric falsely stated that GE would not require any additional fund raising through debt, equity, or otherwise during the fourth quarter-ended December 31, 2008. Then October 1, 2008 GE announced that it planned to offer at least $12 billion of common stock in a public offering. On October 2, 2008, before market open, GE announced the offering was to be priced at $22.25 per share, well-below the stock's prior day closing price of $24.50 per share and below its 52 week low.
News that the stock offering was priced at less than the current market price caused GE's stock price to fall over 9% on October 2, 2008.
Name (Stock Symbol)
General Electric Company (GE)
General Electric Company operates as a technology, media, and financial services company worldwide.
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