PACS INVESTOR NOTICE: Robbins Geller Rudman & Dowd LLP Announces that PACS Group, Inc. Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit

Core Viewpoint - PACS Group, Inc. is facing a class action lawsuit alleging securities fraud related to its initial public offering and subsequent financial practices, with significant claims of misleading statements and fraudulent billing practices [1][4][5]. Group 1: Class Action Lawsuit Details - The class action lawsuit is titled Manchin v. PACS Group, Inc., and it involves purchasers of PACS Group securities between April 11, 2024, and November 5, 2024 [1]. - The lawsuit alleges that PACS Group and its executives made false statements and failed to disclose critical information regarding their financial practices, particularly concerning Medicare claims [4]. - PACS Group conducted its IPO on April 11, 2024, issuing approximately 21.4 million shares at $21.00 per share, raising about $450 million [3]. Group 2: Allegations of Misconduct - The lawsuit claims that PACS Group engaged in a scheme to submit false Medicare claims, which allegedly accounted for over 100% of its operating and net income from 2020 to 2023 [4]. - It is further alleged that PACS Group billed for unnecessary therapies and falsified documentation related to licensure and staffing [4]. - A report by Hindenburg Research on November 4, 2024, claimed that PACS Group's growth was driven by fraudulent Medicare billing practices, leading to a stock price drop of over 27% [5]. Group 3: Stock Price Impact - Following the allegations, PACS Group announced a postponement of its third-quarter earnings release and disclosed receiving civil investigative demands from the federal government, resulting in an additional stock price decline of 38.7% on November 6, 2024 [6].