Maxar Technologies Ltd. (NYSE: MAXR) Investor Securities Class Action Lawsuit 01/14/2019

If you purchased a significant amount of shares of Maxar Technologies Ltd. (NYSE: MAXR) between March 29, 2018, and January 7, 2019, and / or if you purchased any NYSE: MAXR shares prior to March 2018 and continue to hold any of those shares, you have certain options and for certain investors are short and strict deadlines running. Deadline: March 15, 2019. NYSE: MAXR investors should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this case, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Maxar Technologies
Case Name: 
Maxar Technologies Shareholder Class Action Lawsuit 01/14/2019
Case Status: 
Lawsuit Filed
Affected Securities
NYSE: MAXR
Lawsuit Overview
Type of Lawsuit: 
Shareholder Class Action
Date Filed: 
01/14/2019
Class Period Begin: 
03/29/2018
Class Period End: 
01/07/2019
Court of Filing: 
U.S. District Court for the District of Colorado
Deadline To File for Lead: 
03/15/2019
Summary: 

An investor in shares of Maxar Technologies Ltd. (NYSE: MAXR) filed a lawsuit in the U.S. District Court for the District of Colorado over alleged violations of Federal Securities Laws by Maxar Technologies Ltd. in connection with certain allegedly false and misleading statements made between March 29, 2018, and January 7, 2019.

Westminster, CO based Maxar Technologies Ltd., a space and geospatial intelligence company, provides satellites, earth imagery, geospatial data, and analytics for the commercial and government customers worldwide. Maxar Technologies Ltd. reported that its annual Total Revenue rose from over $1.55 billion in 2016 to over $1.63 billion in 2017 and that its Net Income declined from $105.6 million in 2016 to $100.4 million in 2017.

On August 7, 2018, Spruce Point Capital Management published a research report on Maxar Technologies Ltd.. The report alleged, in part, that Maxar Technologies Ltd. "has pulled one of the most aggressive accounting schemes Spruce Point has ever seen to inflate Non-IFRS earnings by 79%." Specifically, the report asserted that Maxar Technologies Ltd. had used its acquisition of DigitalGlobe "to inflate [its] intangible assets" and had "amended its post-retirement benefit plan to book one-time gains" in a manner that "was not fully disclosed across its investor communications."

Shares of Maxar Technologies Ltd. (NYSE: MAXR) declined from $67.30 per share in late 2017 to as low as $35.82 per share on August 8, 2018.

On January 7, 2019, Maxar Technologies Ltd. disclosed that its WorldView-4 satellite experienced a failure in its control moment gyros ("CMGs"), preventing the satellite from collecting imagery due to the loss of an axis of stability. It was further disclosed that the WorldView-4 satellite will likely not be recoverable and will no longer produce usable imagery. WorldView-4 was acquired by GeoEye prior to its merger with DigitalGlobe in 2013. It was launched in November 2016 and generated revenues of approximately $85 million in fiscal year 2018. The satellite had a net book value of approximately $155 million, including related assets, as of December 31, 2018.

Shares of Maxar Technologies Ltd. (NYSE: MAXR) declined to as low as $5.04 per ashare on January 8, 2019.

According to the complaint the plaintiff alleges on behalf of purchasers of Maxar Technologies Ltd. (NYSE: MAXR) common shares between March 29, 2018 and January 7, 2019, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between March 29, 2018 and January 7, 2019, the Defendants made false and/or misleading statements and/or failed to disclose that Maxar improperly inflated the value of its intangible assets, among other accounting improprieties, that Maxar’s highly-valued WorldView-4 was equipped with CMGs that were faulty and/or ill-suited for their designed and intended purpose, and that as a result, Maxar’s public statements were materially false and misleading at all relevant times.

On January 14, 2019, NYSE: MAR shares closed at $6.25 per share.