Berman Tabacco Announces Investigation Standard Lithium, Inc. (SLI) for Potential Securities Law Violations

February 04, 2022 4:51 PM EST | Source: Berman Tabacco

Boston, Massachusetts--(Newsfile Corp. - February 4, 2022) -  Berman Tabacco, a national law firm representing investors, is investigating potential securities law violations by Standard Lithium, Ltd. ("Standard Lithium" or "the Company") (NYSE American: SLI), a lithium development company with headquarters in Vancouver, British Columbia.

On May 19, 2020, Standard Lithium announced the successful start-up of the Company's industrial-scale Direct Lithium Extraction Demonstration Plant at Lanxess's South Plant facility in southern Arkansas (the "Demonstration Plant"), a purportedly "first-of-its-kind plant" using Standard Lithium's proprietary LiSTR Direct Lithium Extraction ("LiSTR") technology. According to the Company, one of the key features of the LiSTR technology was that it increased lithium recovery efficiencies to more than 90%.

On November 18, 2021, Blue Orca Capital ("Blue Orca") published a short report (the "Blue Orca Report" or the "Report") alleging that Standard Lithium's claims of achieving of 90% extraction rates of battery grade lithium at its Arkansas demonstration site are not supported by previously undisclosed data filed by the Company with the state regulator, which indicated significantly lower recovery rates.

Following publication of the Blue Orca Report, Standard Lithium's common share price fell $1.86 per share, or 18.84%, to close at $8.01 per share on November 18, 2021.

On January 27, 2022, a securities class action was filed against Standard Lithium and certain of its officers in the United States District Court for the Eastern District of New York on behalf of a class consisting of all persons and entities other than Defendants that purchased or otherwise acquired Standard Lithium securities between May 19, 2020 and November 17, 2021, both dates inclusive (the "Class Period"). The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934and Rule 10b-5 promulgated thereunder.

The class action alleges that the defendants made false and/or misleading statements and/or failed to disclose that: (i) the LiSTR technology's extraction recovery efficiencies were overstated; (ii) accordingly, the Company's final product lithium recovery percentage at the Demonstration Plant would not be as high as the Company had represented to investors; and (iii) as a result, the Company's public statements were materially false and misleading at all relevant times.

On February 3, 2020, Bloomberg reported that "Standard Lithium shares tumbled as much as 25%, the most since Nov. 18, after Hindenburg Research said in a report that it has taken a short position in the Vancouver-based mining services company."

If you wish to serve as Lead Plaintiff for the Class, you must file a motion to serve as Lead Plaintiff with the Court no later March 28, 2022. Any member of the proposed Class may move the Court to serve as Lead Plaintiff through counsel of their choice, or may choose to do nothing and remain a member of the proposed Class. An investor's ability to share in any potential future recovery is not dependent upon serving as Lead Plaintiff.

A Lead Plaintiff is appointed by the court to represent the members of the putative class in the lawsuit. Typically, the Lead Plaintiff is the applicant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class.

If you sustained losses in excess of $50,000 from your transactions in Standard Lithium securities during the Class Period and are interested in learning more about serving as Lead Plaintiff, please provide your information here: submit your information here.

Berman Tabacco is a national law firm representing institutions and individuals in lawsuits, seeking to recoup losses caused by corporate and board misconduct and violations of the securities and antitrust laws. The firm has offices in Boston, Massachusetts and San Francisco, California.

This notice may constitute attorney advertising.

Contact:
Berman Tabacco
Jay Eng, Esq.
One Liberty Square
Boston, Massachusetts
(800) 516-9926
Email: law@bermantabacco.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/112877

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