NOTABLE CASES
Bellamy’s Australia Ltd Settles with Shareholders for AUD $49.7 Million
December 6, 2019
CASE SUMMARY
The class action investigation into Bellamy’s is focused on alleged breaches of its continuous disclosure obligations and for possibly engaging in misleading or deceptive conduct regarding its infant formula trade with China. When the company eventually informed the market of its lower than expected revenue in December this year, the share price almost halved in a single da and Bellamy’s market capitalization was slashed by over $500 million in the two trading days that followed.
CLASS DEFINITION
On behalf of all persons that acquired Bellamy’s Australia Ltd (“Bellamy’s”) securities between 14 April 2016 and 9 December 2016 inclusive.
SETTLEMENT DETAILS
Contributions to the settlement amount will be paid as follows:
- Vereit – $738.5 million
- ARCP – $225 million
- Brian Block (former CFO of ARCP) – $12.5 million
- Grant Thornton LLP (former auditor of ARCP) – $49 million
