LOS ANGELES–(BUSINESS WIRE)–Glancy Prongay & Murray LLP (āGPMā) announces that it has filed a class action lawsuit in the United States District Court for the Southern District of Texas, captioned Zhongjian v. enCore Energy Corp., et al., Case No. 25-cv-1234, on behalf of persons and entities that purchased or otherwise acquired enCore Energy Corp. (āenCoreā or the āCompanyā) (NASDAQ: EU) securities between March 28, 2024 and March 2, 2025, inclusive (the āClass Periodā). Plaintiff pursues claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the āExchange Actā).
Investors are hereby notified that they have 60 days from the date of this notice to move the Court to serve as lead plaintiff in this action.
IF YOU SUFFERED A LOSS ON YOUR ENCORE INVESTMENTS, CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS UNDER THE FEDERAL SECURITIES LAWS.
What Happened?
On March 3, 2025, enCore announced its fiscal 2024 financial results, revealing a net loss of $61.3 million (more than double its net loss of $25.6 million in the prior fiscal year). The Company explained āthe inability to capitalize certain exploratory and development costs under U.S. GAAP which would have been capitalized under IFRS [International Financial Reporting Standards]ā impacted the Companyās results. Further, the Company revealed that it had āidentified in 2024ā a āmaterial weaknessā in the Companyās internal controls over financial reporting, āprimarily due to an ineffective control environment that resulted in ineffective risk assessment, information and communications and monitoring activities.ā
Also on March 2, 2025, the Company also revealed that it had appointed a new acting Chief Executive Officer āeffective immediatelyā and that Paul Goranson āis no longer serving as enCoreās Chief Executive Officer or as a member of the board of directors.ā
On this news, enCoreās stock price fell $1.17, or 46.4%, to close at $1.35 per share on March 3, 2025, on unusually heavy trading volume.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Companyās business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that enCore lacked effective internal controls over financial reporting; (2) that enCore could not capitalize certain exploratory and development costs under GAAP; (3) that, as a result, its net losses had substantially increased; and (4) that, as a result of the foregoing, Defendantsā positive statements about the Companyās business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
If you purchased or otherwise acquired enCore securities during the Class Period, you may move the Court no later than 60 days from the date of this notice to ask the Court to appoint you as lead plaintiff.
Contact Us To Participate or Learn More:
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
Charles Linehan, Esq.
Glancy Prongay & Murray LLP
1925 Century Park East, Suite 2100
Los Angeles, California 90067
Email: [email protected]
Telephone: 310-201-9150
Toll-Free: 888-773-9224
Visit our website at www.glancylaw.com.
Follow us for updates on LinkedIn, Twitter, or Facebook.
If you inquire by email, please include your mailing address, telephone number and number of shares purchased.
To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contacts
Contact Us:
Glancy Prongay & Murray LLP
1925 Century Park East, Suite 2100
Los Angeles, CA 90067
Charles Linehan
Email: [email protected]
Telephone: 310-201-9150
Toll-Free: 888-773-9224
Visit our website at: www.glancylaw.com.
