NEW YORK, April 17, 2014 /PRNewswire/ -- FRANK
& BIANCO LLP is investigating possible securities fraud claims
against Allied Nevada Gold Corp. ("Allied Nevada" or the "Company")
(NYSE: ANV) and certain of its officers and/or directors, on behalf
of purchasers of Allied Nevada's securities between January 18, 2013 and August 5, 2013, inclusive (the "Class
Period").
The investigation concerns possible violations of the federal
securities laws related to materially false and misleading
statements or omissions of material information during the Class
Period, regarding the concealment that certain equipment crucial to
the Company's mining efforts suffered from serious, ongoing defects
and deficiencies.
On April 30, 2013, the Company
issued a press release announcing its financial results for the
first quarter of 2013. The press release stated that (1)
"uncommonly inclement weather" and increased mining costs had
negatively impacted production costs and adjusted cash costs for
the period; (2) the Company's previously announced plans to expand
operations at its sole operating property, the Hycroft Mine in
Nevada, would be revised to take
effect in phases; and (3) Allied Nevada would sell 14 million
shares of common stock to investors through a secondary public
offering in order to fund capital expenditures at the Hycroft Mine,
and for other corporate purposes.
Subsequently, on August 6, 2013,
the Company issued a press release announcing that it would defer
construction at the Hycroft Mine expansion project due in part to
weak cash flow from operations. In addition, the press
release announced disappointing earnings and increased costs for
the second quarter of 2013, as well as reduced production and sales
for the first half of 2013, due at least in part from metals not
being released from the Company's Lewis leach pad as
expected. On this news, the Company's stock price dropped
$0.64 per share, or almost 15%, on
heavy trading volume.
If you purchased Allied Nevada securities within the Class
Period, and you wish to discuss this investigation, or have any
questions concerning this notice or your rights or interests with
respect to these matters, please contact us.
Contact:
FRANK & BIANCO LLP
Bridget Hamill
212-682-1853
800-497-8076
Investigations@frankandbianco.com
www.frankandbianco.com
SOURCE FRANK & BIANCO LLP