Kaskela Law LLC announces that it is investigating ATI Physical Therapy, Inc. (NYSE: ATIP / NYSE: FAII) on behalf of the company’s long-term stockholders.
The investigation is focused on whether the members of ATI’s board of directors violated the securities laws or breached their fiduciary duties to stockholders in connection with recent corporate actions and disclosures.
ATI operates as an outpatient physical therapy provider that specializes in outpatient rehabilitation and adjacent healthcare services in the United States. The current company was formed in June 2021 via a business combination with SPAC entity Fortress Value Acquisition Corp. II (NYSE: FAII), with ATI as the surviving, public entity.
On July 26, 2021, ATI reported its financial results for second quarter 2021 (the period in which the business combination was completed). Among other things, ATI reported that “the acceleration of attrition among [its] therapists in the second quarter and continuing into the third quarter, combined with the intensifying competition for clinicians in the labor market, prevented us from being able to meet the demand we have and increased our labor costs.” Following this news, shares of the Company’s stock declined $3.62 per share, or 43% in value, to close at $4.72 per share on July 26, 2021.
Current ATI stockholders who purchased or acquired shares of ATIP or FAII stock prior to May 24, 2021 are encouraged to contact Kaskela Law LLC (David Seamus Kaskela, Esq.) at (888) 715 – 1740, or by completing the information form on this page, for additional information about this investigation and their legal rights and options.