INVESTOR ALERT: Edelson Lechtzin LLP Reminds Arrow Financial Corporation (NASDAQ: AROW) Shareholders with Substantial Losses to Consider Seeking Leadership in the Securities Fraud Class Action
NEWTOWN, PA, July 8, 2023 — The law firm of Edelson Lechtzin LLP is investigating securities fraud claims on behalf of purchasers of Arrow Financial Corporation (“Arrow” or the “Company”) (NASDAQ: AROW) common stock between March 12, 2022, and May 12, 2023 (the “Class Period”).
Investors who purchased Arrow common stock may move the Court to appoint them as lead plaintiff, no later than August 22, 2023. Current holders of Arrow stock may pursue corporate governance reforms. Please contact Edelson Lechtzin LLP at 844-696-7492 to discuss your investment losses, or by e-mail at [email protected]. A copy of the class action complaint can be viewed HERE.
Background on Arrow Financial Corporation
Arrow is a multi-bank holding company headquartered in Glens Falls, New York. The company offers a range of financial services across New York through its subsidiaries, including online and mobile banking, wealth management, and deposit accounts, as well as mortgage, consumer, and commercial loans.
The Securities Fraud Claims
The complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects, and/or failed to disclose that: (i) Arrow maintained defective internal controls over financial reporting; (ii) the foregoing increased the risk that the Company could not timely file one or more of its periodic financial reports with the SEC as required by NASDAQ; (iii) accordingly, Arrow was at an increased risk of being delisted from the NASDAQ. After the disclosure of deficiencies in the Company’s internal controls over financial reporting, Arrow downplayed the severity of these issues and the associated risks, and, as a result, the Company’s public statements were materially false and misleading at all relevant times.
Arrow announced on March 16, 2023, that it would not be able to submit its annual report on Form 10-K to the SEC on time for the quarter and year that concluded on December 31, 2022. On this news, Arrow’s stock price fell $0.99 per share, or 3.64%, to close at $26.21 per share on March 17, 2023.
On May 11, 2023, Arrow reported that it would not be able to submit its quarterly report on time and needed additional time to complete an assessment of its internal controls over financial reporting. On this news, Arrow’s stock price fell $0.33 per share, or 1.66%, to close at $19.59 per share on May 12, 2023.
On May 15, 2023, Arrow revealed that it had received a second notice of non-compliance with NASDAQ’s periodic filing requirements due to their inability to timely file their quarterly report with the SEC. Arrow also disclosed that the Company’s President and Chief Executive Officer and a member of the Board of Directors had terminated his employment with the Company and its affiliates, effective May 12, 2023. On this news, Arrow’s stock price fell $0.53 per share, or 2.71%, to close at $19.06 per share on May 15, 2023.
For more information, please contact:
Marc H. Edelson, Esq.
Eric Lechtzin, Esq.
EDELSON LECHTZIN LLP
411 S. State Street, Suite N-300
Newtown, PA 18940
Phone: 844-696-7492 or 215-867-2399 ext. 1
Email: [email protected]
Email: [email protected]
Edelson Lechtzin LLP is a national class action law firm with offices in Pennsylvania and California. In addition to cases involving securities and investment fraud, our lawyers focus on class and collective litigation in cases alleging violations of the federal antitrust laws, employee benefit plans under ERISA, wage theft and unpaid overtime, consumer fraud, and data breaches.
This press release may be considered Attorney Advertising in some jurisdictions. No class has been certified in this case, so you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. Your ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.