- A class action securities lawsuit has been filed against enCore Energy Corp. (TSXV:EU) to recover losses for shareholders adversely affected by alleged securities fraud
- This legal action follows enCore’s announcement of a substantial net loss of US$61.3 million for fiscal year 2024, more than double the previous year’s loss
- This news caused a dramatic drop in enCore’s stock price, falling US$1.17 per share, or 46.4 per cent, to close at US$1.35 per share on March 3rd, 2025, on the NASDAQ exchange.
- enCore Energy stock (TSXV:EU) last traded at C$2.34
A class action securities lawsuit has been filed against enCore Energy Corp. (TSXV:EU), seeking to recover losses for shareholders adversely affected by alleged securities fraud between March 28th, 2024, and March 2nd, 2025.
The complaint alleges that enCore made false statements and / or concealed critical information, including the lack of effective internal controls over financial reporting. As a result, defendants’ positive statements about the company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
This legal action follows enCore’s announcement of a substantial net loss of US$61.3 million for fiscal year 2024, more than double the previous year’s loss. The company blamed this on its inability to capitalize certain exploratory and development costs under U.S. generally accepted accounting principles accounting rules. enCore revealed a “material weakness” in its internal financial controls. This news caused a dramatic drop in enCore’s stock price, falling US$1.17 per share, or 46.4 per cent, to close at US$1.35 per share on March 3rd, 2025, on the NASDAQ exchange.
The lawsuit aims to recover losses for shareholders who invested in enCore during the specified period and were misled by the company’s alleged misrepresentations and omissions. Investors who purchased enCore securities during this time frame are encouraged to join the class action to seek potential recovery.
Legal firms such as Levi & Korsinsky, Wolf Haldenstein, and Bronstein, Gewirtz & Grossman have taken the case against the company on behalf of disgruntled investors.
enCore Energy Corp. provides fuel for nuclear energy as the uranium producer in the United States.
enCore Energy stock (TSXV:EU) last traded at C$2.34 and has lost 60.00 per cent since this time last year.
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(Top image- enCore Stockhouse stock chart – Feb. 2025 to March 2025.)
