Case Summary

Sunnova Energy International

NYSE: NOVA

Case Details

  • Trindade v. Sunnova Energy International Inc. et al.
  • Class Period:February 25, 2020 - December 07, 2023
  • Date Filed:February 16 2024
  • Jurisdiction:U.S. District Court, Southern District of Texas
  • Docket Number: 4:24-cv-00569
  • Lead Plaintiff Deadline: April 16, 2024
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Overview

A class action lawsuit has been filed against Sunnova Energy International, Inc. (“Sunnova” or the “Company”) (NYSE: NOVA) and certain of the Company’s current and former senior executive officers alleging violations of the Securities Exchange Act of 1934.  The Sunnova lawsuit is brought on behalf of all persons and entities who purchased or otherwise acquired Sunnova securities between February 25, 2020 and December 7, 2023, both dates inclusive (the “Class Period”), and investors have until April 16, 2024 to seek appointment as lead plaintiff of the Sunnova class action lawsuit.

Sunnova provides energy as a service in the United States.  The Company offers electricity as well as operations and maintenance, monitoring, repairs and replacements, equipment upgrades, on-site power optimization, and diagnostics services.  As of October 2023, the Company operated a fleet of residential solar energy systems purportedly serving over 386,000 customers.

In September 2023, Sunnova entered into a $3.0 billion partial loan guarantee agreement with the U.S. Department of Energy’s (“DOE”) Loan Programs Office (“LPO”) to support solar loans originated by Sunnova under a new solar loan channel named Project Hestia (the “LPO Loan”).  In a press release detailing the LPO Loan, Sunnova stated that Project Hestia was expected to “provide disadvantaged homeowners and communities with increased access to clean, flexible power via Sunnova services by indirectly and partially guaranteeing the cash flows associated with consumers’ loans” and that Sunnova’s “purpose-built technology” was “designed to improve customer insights regarding their power usage and will facilitate demand response behavior.”

The lawsuit alleges that throughout the Class Period Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects.  Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Sunnova routinely engaged in predatory business practices against disadvantaged homeowners and communities, the same groups that Project Hestia was purportedly intended to benefit; (2) the foregoing conduct subjected the Company to a heightened risk of regulatory and/or governmental scrutiny, as well as significant reputational and/or financial harm; and (3) as a result, the Company’s public statements were materially false and misleading at all relevant times.

On November 22, 2023, the Washington Free Beacon published an article entitled “Biden Admin Gave $3 Billion Loan to Solar Company Accused of Scamming Elderly.”  The article revealed that several consumer complaints had been brought against the Company for issues ranging from maintenance delays to predatory sales tactics used against elderly homeowners.  Then, on December 8, 2023, Representative Cathy McMorris Rodgers, Chair of the U.S. House Committee on Energy and Commerce, and Senator John Barrasso, ranking member of the U.S. Senate Committee on Energy and Natural Resources, sent a letter to the DOE and Sunnova seeking information related to the LPO Loan and Project Hestia following the release of the “disturbing” reports regarding the Company.  Specifically, the letter requested additional information regarding the LPO’s awareness and treatment of Sunnova’s allegedly predatory business practices.  On this news, Sunnova’s stock price fell $2.00 per share, or 16.12%, to close at $10.41 per share on December 8, 2023.

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If you purchased or otherwise acquired Sunnova (NYSE: NOVA) securities between February 25, 2020 and December 7, 2023, both dates inclusive, and suffered substantial losses, and you wish to serve as lead plaintiff in this lawsuit, we encourage you to submit your information to DiCello Levitt LLP via the form on this page. 

You can also contact DiCello Levitt partner Brian O’Mara by calling (888) 287-9005 or at investors@dicellolevitt.com. 

The deadline to apply to the Court to serve as a lead plaintiff in the Sunnova lawsuit is April 16, 2024.