Robbins arroyo llp announces uniti group inc. sued for misleading shareholders

Robbins arroyo llp announced that a purchaser of uniti group inc. filed a class action complaint for alleged violations of the securities exchange act of 1934 between april 20, 2015 and february 15, 2019. according to the complaint, in march 2015, uniti spun off from windstream holdings inc. simultaneously, windstream became uniti's main customer. however, when uniti began publicly trading in april 2015, the company failed to disclose in its information statement that its financial results were not sustainable because windstream had defaulted on its unsecured notes. then, on september 21, 2017, the hedge fund aurelius capital master ltd., an owner of more than 25% of windstream's unsecured notes, served a notice to windstream that the spin-off of uniti constituted a sale and leaseback in breach of the notes' indenture. as a result, on february 15, 2019, united states district judge jesse m. furman ruled that the 2015 windstream breached the indenture and awarded aurelius a monetary judgment in the amount of $310,459,959.10. on this news, uniti's share price fell $10.75, or almost 54%, over the course of the next three trading days to close at $9.23. the stock continues decline and currently trades at around $7.70.
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