Class actions filed against Pattern Energy

A number of firms have in recent days announced the filing of securities class actions against US wind yieldco Pattern Energy Group Inc (NASDAQ:PEGI).

This has been prompted by a disclosure by the company in its third-quarter report on November 7 that its internal control over financial reporting was not effective as of September 30, 2016.

Pattern said the "growth of the Company, increases in employee headcount to support growth, and frequent changes in organizational structure were not adequately supported by elements of its internal control over financial reporting." It added, however, that management has concluded that the consolidated financial statements present fairly the company's financial position, results of operations and cash flows for the periods disclosed in conformity with US generally accepted accounting principles (GAAP).

Some of the firms that have initiated class action lawsuits are Federman & Sherwood, Levi & Korsinsky LLP, Pomerantz LLP, Bronstein, Gewirtz & Grossman LLC and Rosen Law Firm. The latter said that shares of Pattern Energy fell over 3% on November 7 on news of the deficiencies disclosure.

The class action period is from May 9 to November 4, 2016.

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