PHILADELPHIA, Jan. 5, 2021 /PRNewswire/ -- Berger Montague is investigating potential securities fraud claims against Covia Holdings Corporation ("Covia" or the "Company"), formerly known as Fairmount Santrol Holdings, Inc. ("Fairmount Santrol"), on behalf of investors who purchased securities of Covia or Fairmount Santrol (OTC: CVIAQ; NYSE: CVIA; NYSE: FMSA) between March 15, 2016 and June 29, 2020 (the "Class Period").

If you purchased Covia or Fairmount Santrol securities during the Class Period, have questions concerning your rights or interests, or would like to discuss Berger Montague's investigation, please contact attorneys Andrew Abramowitz at aabramowitz@bm.net or (215) 875-3015, or Donnell Much at dmuch@bm.net or (215) 875-4667, or contact us at www.bergermontague.com/covia.

A recently filed lawsuit accuses the Company and Fairmount Santrol of deceiving the market about the fact that its supposedly "value-added" proppants, a key component in the fracking process, were no more effective than ordinary sand. Because Covia and Fairmount Santrol's revenues were largely dependent upon this product, defendants' statements about the Company's business, operations, and prospects were thus allegedly materially false and misleading.

On March 22, 2019, Covia revealed that it had received a subpoena from the U.S. Securities and Exchange Commission ("SEC") pertaining to an investigation into certain value-added proppants. On this news, Covia's share price fell nearly 7%. On November 6, 2019, Covia revealed that the SEC had requested additional information, including testimony from current and former Covia and Fairmount Santrol employees. On this news, Covia's share price fell an additional 4.3%.

Finally, on June 30, 2020, the NYSE delisted Covia after the Company sought protection under Chapter 11 of the U.S. Bankruptcy Code. Covia's share price fell more than 37% on that news. On August 10, 2020 – after the Class Period ended – Covia revealed that it had received a Wells Notice from the SEC indicating that enforcement action against the Company had been recommended.

If you purchased Covia or Fairmount Santrol securities during the Class Period, you may seek Court appointment as lead plaintiff to represent other injured investors in a class action. The lead plaintiff appointment deadline is February 8, 2021. You do not need to be a lead plaintiff to share in any potential Class recovery.

Whistleblowers: Persons with non-public information regarding Covia/Fairmount Santrol are encouraged to confidentially assist Berger Montague's investigation or take advantage of the SEC Whistleblower program. Under this program, whistleblowers who provide original information may receive rewards totaling up to thirty percent (30%) of recoveries obtained by the SEC. For more information, contact us.

Berger Montague, with offices in Philadelphia, Minneapolis, Washington, D.C., and San Diego, has been a pioneer in securities class action litigation since its founding in 1970. Berger Montague has represented individual and institutional investors for five decades and serves as lead counsel in courts throughout the United States.

Contacts

Andrew Abramowitz, Senior CounselBerger Montague(215) 875-3015aabramowitz@bm.net

Donnell Much, AssociateBerger Montague(215) 875-4667dmuch@bm.net

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SOURCE Berger Montague