According to the Complaint, Granite purports to be one of the largest diversified infrastructure companies in the United States. In the public sector, the Company primarily focuses on heavy-civil infrastructure projects such as roads, highways, and power-related facilities. In the private sector, the Company provides site preparation and infrastructure services for residential development, energy development, and other facilities.
The Complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, the Complaint alleges Defendants made false and/or misleading statements and/or failed to disclose: (1) that the Company had assumed certain risks in connection with its heavy civil joint venture projects bid between 2012 and 2014; (2) that there was an “untenable” imbalance of risk sharing between the Company and the joint venture project owners; (3) that, as a result, the Company was reasonably likely to incur additional project costs for its joint venture projects; (4) the Company was reasonably likely to incur additional costs in connection with certain project disputes; and (5) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects and prospects were materially misleading and/or lacked a reasonable basis.
On November 26, the Court issued an Order appointing Lead Plaintiff. On January 16, 2020, the Court approved Lead Plaintiff's selection of Counsel. Lead Plaintiff filed an amended Complaint on February 20. Defendants filed a Motion to Dismiss the amended Complaint on March 26. On May 20, the Court issued an Order granting in part and denying in part Defendants' Motion to Dismiss.