Slater and Gordon's class action woes

Listed law firm Slater and Gordon faces two shareholder class actions over its disclosure of financial information to the stock market.

THE SHAREHOLDERS TAKING LAW FIRM SLATER AND GORDON TO COURT

MAURICE BLACKBURN LAWYERS' CLASS ACTION:

* More than 3,000 shareholders signed up and open to thousands more

* Losses total more than $250m but claim could vastly exceed that

* If successful, could be largest shareholder class action recovery in Australia

* Claim period March 2015 to February 2016

* Filed in Federal Court Wednesday

* Funded by International Litigation Funding Partners

POTENTIAL CLASS ACTION BY ACA LAWYERS:

* Finalising investigation; intends to commence proceedings

* Funded by listed Australian funder JustKapital Litigation Finance and London-based Woodsford Litigation Funding

* Claim period August 12, 2014 to February 28, 2016

WHAT ARE THE CLAIMS OVER?

* Slater and Gordon's alleged failure to disclose to the market in timely manner information about its financial performance and prospects

* Mainly related to its $1.2b UK acquisition of Quindell's professional services division

* Share price dropped almost 95pct between April 2015 and February 2016, wiping more than $2b off the value of the company

* Firm recorded a $1b loss in 2015/16, largely due to $879.5m in writedowns mostly linked to its UK business


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Source: AAP



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