NEW YORK, May 11, 2023 (GLOBE NEWSWIRE) -- Kaplan Fox & Kilsheimer LLP (www.kaplanfox.com) is investigating claims on behalf of investors of Icahn Enterprises L.P. (“Icahn Enterprises” or the “Company”) (NASDAQ: IEP). Click Here to Join Investigation.
If you acquired Icahn Enterprises securities and would like to discuss our investigation, please click here or contact us by emailing jcampisi@kaplanfox.com or by calling (212) 329-8571.
On May 2, 2023, Hindenburg Research published a report (the “Hindenburg Report”) about Icahn Enterprises stating, among other things, that “[o]ur research has found that IEP units are inflated by 75%” and that “[t]he dividend is entirely unsupported by IEP’s cash flow and investment performance, which has been negative for years.” Further, the Hindenburg Report referred to Icahn Enterprises as a “ponzi-like” economic structure.
On May 2, 2023, Icahn Enterprises shares fell $10.06 per share, about 20%, to close at $40.36 per share. Shares declined again the next trading day by 19.3% to close at $32.57 per share on May 3, 2023.
On May 10, 2023, Icahn Enterprises filed its quarterly report on Form 10-Q in which the Company disclosed that “[t]he U.S. Attorney’s office for the Southern District of New York contacted Icahn Enterprises L.P. on May 3, 2023 seeking production of information relating to it and certain of its affiliates’ corporate governance, capitalization, securities offerings, dividends, valuation, marketing materials, due diligence and other materials.” On May 10, following this disclosure The Wall Street Journal published an article entitled “Icahn, Under Federal Investigation, Blasts Short Seller,” in which it reported that the day after publication of the Hindenburg Report “the U.S. Attorney’s Office for the Southern District of New York contacted Icahn Enterprises asking for information….”
Also, on May 10, 2023, Icahn Enterprises reported its first quarter 2023 financial results, including a $270 million loss for the quarter compared to a profit of $323 million in the same period of the prior year. In connection with these results, The Wall Street Journal reported that the Company “wrote down the value of one of the holdings that Hindenburg highlighted in its report as overvalued” and that “[i]n its filings, Icahn acknowledged that its auto-parts division filed for Chapter 11 bankruptcy at the end of January” although “[i]n March, Icahn reported that the auto-parts division at the end of the year was worth $381 million.”
Following this news, on May 10, 2023 Icahn Enterprises shares fell $5.92 per share, or 15.59%, to close at $32.05 per share.
WHY CONTACT KAPLAN FOX - Kaplan Fox is a leading national law firm focusing on complex litigation with offices in New York, Oakland, Los Angeles, Chicago and New Jersey. With over 50 years of experience in securities litigation, Kaplan Fox offers the professional experience and track record that clients demand. Through prosecuting cases on the federal and state levels, Kaplan Fox has successfully shaped the law through winning many important decisions on behalf of our clients. For more information about Kaplan Fox & Kilsheimer LLP, you may visit our website at www.kaplanfox.com.
If you have any questions about this investigation, please contact:
Jeffrey P. Campisi
KAPLAN FOX & KILSHEIMER LLP
800 Third Avenue, 38th Floor
New York, New York 10022
(212) 329-8571
E-mail: jcampisi@kaplanfox.com
Laurence D. King
KAPLAN FOX & KILSHEIMER LLP
1999 Harrison Street, Suite 1560
Oakland, California 94612
(415) 772-4704
Fax: (415) 772-4707
E-mail: lking@kaplanfox.com
