Scott+Scott Attorneys at Law LLP Alerts Investors That There Is an Ongoing Securities Class Action Against XPLR Infrastructure, LP f/k/a Nextera Energy Partners, LP (NYSE: XIFR)

Core Viewpoint - A securities class action lawsuit has been filed against XPLR Infrastructure, LP, alleging misleading statements and omissions regarding the company's financial condition and business model during the class period from September 27, 2023, to January 27, 2025 [1][3]. Company Overview - XPLR Infrastructure, LP, formerly known as Nextera Energy Partners, LP, focuses on acquiring, owning, and managing contracted clean energy projects in the U.S., including wind and solar power projects and a natural gas pipeline [2]. Allegations in the Class Action - The lawsuit claims that during the class period, the defendants failed to disclose that XPLR was struggling to maintain its operations as a yieldco, which is a business model focused on delivering cash distributions to investors [3]. - It is alleged that the defendants entered into financing arrangements to temporarily alleviate operational issues while downplaying associated risks [3]. - The lawsuit states that XPLR could not resolve these financings before their maturity without risking significant unitholder dilution [3]. - As a result of these issues, the defendants planned to halt cash distributions to investors and redirect funds to resolve financing problems, indicating that the yieldco business model and distribution growth rate were unsustainable [3]. - The public statements made by the defendants were claimed to be materially false and misleading throughout the relevant period [3]. Market Reaction - On January 28, 2025, XPLR announced a suspension of cash distributions to common unitholders and a shift away from its yieldco model, which led to a significant drop in the stock price from $15.80 to $10.49 per unit, a decline of nearly 35% [4].