Stock Alert: Pioneer Power Solutions Soars Following Settlement With Myers Power

(RTTNews) - Shares of Pioneer Power Solutions, Inc. (PPSI) are surging more than 50% Friday morning after the company finalized a conclusive settlement with Myers Power Products on a suit that the latter had filed in 2016.

As per the settlement, the two injunctions Myers had obtained earlier, that prohibited Pioneer Power from pursuing certain strategic transactions as well as distributing a one-time special cash dividend to its shareholders, were dissolved. Further, all litigation and appeals related to the action have been dismissed with prejudice, the company said.

In January 2016, Myers had filed a suit with the Superior Court of the State of California, County of Los Angeles, against Pioneer Power, Pioneer Custom Electrical Products Corp. (PCEP) and two PCEP employees who were former employees of Myers, alleging that Pioneer Power wrongly used and retained confidential business information of Myers.

PPSI, currently at $5.35, has been trading in the range of $0.90- $9.43 in the past 52 weeks.