British American Tobacco shareholder action
It is alleged that BAT misled the market by falsely announcing in June 2007 that it had divested from its North Korean tobacco sales business, while in fact continuing to conduct business there until 2017 through a covert scheme, in breach of US sanctions and banking regulations.
Former and current shareholders of British American Tobacco p.l.c. (BAT) may be eligible for compensation if they suffered losses on their investments as a result of BAT’s failure to provide the market with accurate and timely information about its dealings in North Korea.
This, it is argued, resulted in BAT securities trading at inflated prices and caused loss to shareholders when the truth emerged and the share price declined.
The collective action
The proposed claims allege that BAT:
- Made false and/or misleading statements to the market and dishonestly delayed disclosing material information relating to its North Korean operations (a section 90A FSMA claim); and
- Published a Prospectus in June 2017 that omitted material information about its covert North Korean scheme, despite an obligation to inform investors (a section 90 FSMA claim).
Claims will be brought on behalf of investors who suffered loss when BAT’s share price declined in response to the revelation of its covert North Korean operations and related US enforcement action.
Specialist team
Hausfeld is a leading claimant focused litigation firm that pioneered competition damages claim in Europe and accumulated vast experience managing high-profile and complex group litigation.
We have instructed expert economists, BDO LLP, to assist with quantifying loss and their work indicates a substantial level of price inflation caused by the false/misleading statements, omissions, and/or delay in publication of the truth.
Further information
If you would like to consider joining the claim, we can provide you with a provisional estimate of the value of your claim based on relevant trading data that you may share with us. This will help you assess your possible participation.