A securities class action has been filed in the USDC — S.D.FLA. against Terran Orbital Corporation (LLAP, LLAPW) (“Terran” or the “Company”), on behalf of all persons or entities that purchased or otherwise acquired Terran securities between August 15, 2023 and August 14, 2024, both dates inclusive (the “Class Period”).
Terran manufactures and sells satellites for aerospace and defense industries in the U.S. and internationally. Historically, Lockheed Martin Corporation (“Lockheed”) has been one of Terran’s most significant stakeholders and customers. As of October 31, 2022, Lockheed owned approximately 9.5% of Terran’s stock, and by May 2, 2024, Lockheed owned an approximate 28.3% stake in the Company. Likewise, as of December 21, 2021, contracts with Lockheed represented approximately 50% of Terran’s consolidated revenues, whereas Lockheed comprised approximately 70% of Terran’s consolidated revenues during the three months ended June 30, 2024.
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that:
(1) it would take much longer than Defendants had represented to investors and analysts for Terran to convert its contracts with its customers (collectively, “Customer Contracts”) into revenue and free cash flow;
(2) Terran did not have adequate liquidity to operate its business while waiting for the Customer Contracts to generate revenue and free cash flow;
(3) Terran had concealed the true scope and severity of its dire financial situation; and
(4) as a result of the foregoing, Terran’s public statements were materially false and misleading at all relevant times, thereby harming investors.
On August 15, 2024, Terran’s share closed at $0.243 per share.
If you purchased Terran securities during the class period and would like to receive more information or join the action, please enter your contact information below for a FREE consultation and click “Submit Your Information”.
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