Ormat Technologies, Inc. Long term Investors File Lawsuit

If you are a current long term investor in Ormat Technologies, Inc. (NYSE:ORA), including those who purchased (also) prior to May 2008 and presently continue to hold those ORA shares, you have certain options and you should contact the Shareholders Foundation.

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): 
Ormat Technologies
Case Name: 
Ormat Technologies Derivative 10/07/2010
Case Status: 
Lawsuit Filed
Affected Securities
NYSE: ORA
Lawsuit Overview
Type of Lawsuit: 
Shareholder Derivative Action
Date Filed: 
10/07/2010
Court of Filing: 
U.S. District Court for the District of Nevada
Summary: 

Several current long term investors in Ormat Technologies, Inc. (NYSE:ORA) filed lawsuits against certain officers and directors of Ormat Technologies alleging breaches of fiduciary duties. The lawsuits follow lawsuits filed on behalf of investors who purchased Ormat Technologies securities only between May 6, 2008 and February 24, 2010, over alleged securities laws violations by Ormat Technologies, Inc.

According to the complaint filed in the United States District Court for the District of Nevada the plaintiff alleges on behalf of investors who purchased Ormat Technologies securities only between May 6, 2008 and February 24, 2010 that Reno, Nevada based Ormat Technologies, Inc violated federal securities laws by knowing or recklessly disregarding between May 6, 2008 and February 24, 2010 that their public statements concerning its business, operations and prospects were materially false and misleading. The plaintiffs in the lawsuits filed on behalf of current long term investors in Ormat Technologies, Inc. (NYSE:ORA) allege breaches of fiduciary duties by certain Ormat Technologies officers and directors in connection with the alleged securities laws violations.

Then on February 24, 2010, Ormat Technologies, Inc disclosed that the Board of Directors and Audit Committee of Ormat Technologies, Inc, upon recommendation of management, had concluded that its financial statements for the year ended December 31, 2008 contained in its Annual Report on Form 10-K for the year then ended require restatement and should no longer be relied upon, and additionally, that Ormat Technologies, Inc’s prior related earnings and news releases and similar communications should also no longer be relied on to the extent they related to the financial statements for the year ended December 31, 2008. Ormat Technologies, Inc additionally indicated that Ormat Technologies, Inc planned to revise its consolidated financial statements as of and for the three- and nine-month periods ended September 30, 2009.

As a result of this news, so the lawsuit, Ormat Technologies, Inc shares (ORA) declined $1.28 per share, to close on February 24, 2010, at $31.90 per share, and further declined over the following two days to close on February 26, 2010, at $28.93 per share, on heavy trading volume. Over the course of these three days of trading, Ormat Technologies, Inc shares declined a total of $4.25 per share. ORA shares traded as low as $26.13 in August and traded recently at $30.08 per share. Ormat Technologies shares are still over 40% down from its highest trading of $53.54 per share between May 08 and February 2010.