An investor in NYSE:PN filed a lawsuit against Patriot National Inc over alleged violations of Federal Securities Laws by Patriot National Inc.
Investors who purchased shares of Patriot National Inc (NYSE:PN) have certain options and for certain investors are short and strict deadlines running. Deadline: May 15, 2017. NYSE:PN investors should contact the Shareholders Foundation at email@example.com or call +1(858) 779 – 1554.
The plaintiff claims that the Defendants failed to disclose that the Patriot National Inc special committee was beholden to Mariano, that, as such, the special committee was operating for the benefit of Mariano, and not the Company or its shareholders, that the special committee did not independently assess the merits of the Ebix transaction, that the special committee was not exploring strategic alternatives in order to maximize shareholder value, and that, as a result of the foregoing, Defendants’ statements about Patriot National’s business, operations, and prospects, were false and misleading and/or lacked a reasonable basis.
Fort Lauderdale, FL based Patriot National, Inc. is an independent national provider of technology-enabled outsourcing solutions that help insurance carriers, employers and other clients mitigate risk and comply with complex regulations. Patriot National Inc reported that its annual Total Revenue rose from $117.26 million in 2014 to $209.72 million in 2015 and that its Net Income of $10.41 million declined to a Net loss of $5.38 million in 2015.
In December 2016 it was reported that a Patriot National Inc shareholder sued Patriot National Inc in Delaware based on allegations that the CEO of Patriot National Inc Mr. Steve Mariano had been using the company “as his personal piggy bank” and that Mariano made a series of decisions that were detrimental to the Company’s business, but that allowed him to retain control of the Company.
On March 3, 2017, Patriot National Inc announced that it had entered into an agreement with Guarantee Insurance Group and Mariano, regarding the service agreements between Patriot National Inc and Guarantee Insurance Group’s wholly-owned subsidiary Guarantee Insurance Company.
Mr. Mariano is both the Chairman, CEO, and majority owner of Patriot National Inc, as well as the majority owner of Guarantee Insurance Company. Patriot National Inc further disclosed that Guarantee Insurance Company is the Company’s principal customer, with contracts and relationships from Guarantee Insurance Company generating $107.8 million, or 59% of the Company’s Total Fee Income and Fee Income from Related Party for the nine-months ended September 30, 2016.
Shares of Patriot National Inc (NYSE:PN) closed at $2.62 per share on March 27, 2017.
Those who purchased NYSE:PN shares have certain options and should contact the Shareholders Foundation.
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