SAN DIEGO, April 01, 2022 (GLOBE NEWSWIRE) -- Shareholder rights law firm Johnson Fistel, LLP announces that a class action lawsuit has commenced on behalf of investors of Gatos Silver, Inc. ("Gatos" or the "Company") (NYSE: GATO). The class action is on behalf of shareholders who purchased Gatos securities between October 28, 2020 and January 25, 2022, inclusive (the "Class Period"). To serve as lead plaintiff in this class action, you must move the Court no later than April 25, 2022.
What actions may I take at this time? If you suffered a substantial loss and are interested in learning more about being a lead plaintiff, please contact Jim Baker (jimb@johnsonfistel.com) by email or phone at 619-814-4471. If emailing, please include a phone number.
To join this action, you can click or copy and paste the link below in a browser: https://www.cognitoforms.com/JohnsonFistel/GatosSilverInc2
On January 25, 2022, Gatos Silver provided a resource and reserve update for the Los Gatos Joint Venture, which included a detailed reconciliation of recent production performance. Stating, "the Company concluded that there were errors in the technical report entitled "Los Gatos Project, Chihuahua, Mexico" with an effective date of July 1, 2020 (the ‘2020 Technical Report'), as well as indications that there is an overestimation in the existing resource model." On a preliminary basis, the Company estimates a potential reduction of the metal content of CLG's mineral reserve ranging from 30% to 50% of the metal content remaining after depletion."
According to the lawsuit, Defendants made materially false and misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that the technical report for Gatos's primary mine, the Cerro Los Gatos deposit, contained certain errors; (2) that, among other things, the mineral reserves had been overestimated by as much as 50%; and (3) that, as a result of the above mentioned, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and lacked a reasonable basis.
A lead plaintiff will act on behalf of all other class members in directing the Gatos class-action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the class-action lawsuit. An investor's ability to share any potential recovery of the Gatos class action lawsuit is not dependent upon serving as lead plaintiff.
About Johnson Fistel, LLP:
Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit http://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.
Contact:
Johnson Fistel, LLP
Jim Baker, 619-814-4471
Investor Relations
jimb@johnsonfistel.com
