Motley Rice named Co-Lead Counsel in securities fraud lawsuit for Intel investors hurt by delayed production of next generation computer processer
On October 20, 2020, United States District Judge Edward J. Davila appointed Motley Rice as Co-Lead Counsel in a securities fraud class action concerning alleged misrepresentations by Intel Corporation regarding delays in the launch of its next generation of seven-nanometer microprocessors.
The class action, which is filed in the Northern District of California, is on behalf of investors that purchased or otherwise acquired shares of Intel common stock between October 25, 2019 and July 23, 2020. During the class period, investors allege that Intel and several of its executives repeatedly assured investors that it was on track to launch its next generation of seven-nanometer chips.
In July 2020, however, Intel revealed that production of its seven-nanometer chip was a year behind schedule due to a defect and other setbacks. Intel also announced that it would consider outsourcing the manufacturing of its seven-nanometer chip. On this news, the company’s stock price sharply declined.
Investors allege that Intel made several false statements and omitted the extent of its delays and setbacks in order to mislead investors and the public. Motley Rice represents Co-Lead Plaintiff KBC Asset Management NV.