Faruqi & Faruqi Reminds PACS Group Investors of the Pending Class Action Lawsuit with a Lead Plaintiff Deadline of January 13, 2025 – PACS

Core Viewpoint - PACS Group is facing significant legal and financial challenges following allegations of fraudulent practices related to Medicare claims, which have led to a sharp decline in its stock price and a federal investigation [4][5][11]. Financial Performance - PACS Group conducted its IPO on April 11, 2024, selling 21,428,572 shares at $21.00 per share, raising approximately $450 million in net proceeds [3]. - Following the allegations, the company's share price fell by $11.45 or 38.76% to close at $18.09 per share on November 6, 2024, marking a decline of over 13.9% from the IPO price [5]. - The company also experienced a drop in share price of $11.93 or 27.78% to close at $31.01 per share on November 4, 2024, prior to the earnings release postponement [13]. Legal Issues - Hindenburg Research published a report alleging that PACS Group engaged in fraudulent practices, including submitting false Medicare claims that accounted for over 100% of its operating and net income from 2020 to 2023 [4][11]. - The report also claimed that PACS Group billed for unnecessary therapies and falsified documentation related to licensure and staffing, which misled investors about the company's financial health [4][11]. - Faruqi & Faruqi, LLP is investigating potential claims against PACS Group and has set a deadline of January 13, 2025, for investors to seek the role of lead plaintiff in a federal securities class action [10].