Oak Street Health
Settlement of Allison v. Oak Street Health, Inc., et al.
No. 1:22-CV-00149
The parties have reached a settlement of this action, filed in the United States District Court for the Northern District of Illinois. The settlement provides for the payment of $60 million for the benefit of eligible Settlement Class Members. Plaintiffs Central Pennsylvania Teamsters Pension Fund – Defined Benefit Plan, Central Pennsylvania Teamsters Pension Fund – Retirement Income Plan 1987, Boston Retirement System, and City of Dearborn Police & Fire Revised Retirement System alleged that during the Class Period, Defendants made false and misleading statements and omissions to investors concerning certain of Oak Street Health, Inc.’s (“Oak Street Health”) patient acquisition tactics including paying for referrals on a per-patient basis and marketing free transportation to prospective patients, which Plaintiffs claimed violated the federal Anti-Kickback Statute and/or False Claims Act. Plaintiffs alleged the false and/or misleading statements artificially inflated Oak Street Health’s stock price, and when the truth was eventually disclosed, the price of Oak Street Health’s stock declined, resulting in substantial damages to the Settlement Class.
The Settlement Class consists of all persons and entities who or which purchased or otherwise acquired the publicly traded common stock of Oak Street Health during the period from August 6, 2020 through November 8, 2021, both dates inclusive, including those who purchased shares of Oak Street Health common stock pursuant to or traceable to the registration statements and prospectuses issued in connection with Oak Street Health’s initial public offering on August 6, 2020, its December 2, 2020 secondary public offering, and its February 10, 2021 secondary public offering, and were allegedly damaged thereby. Excluded from the Settlement Class are: (i) Defendants; (ii) members of the immediate family of any Defendant who is an individual; (iii) any person who was an officer or director of Oak Street Health, GA, Newlight, or Humana, Inc. during the Class Period; (iv) any firm, trust, corporation, or other entity in which any Defendant has or had a controlling interest; (v) Oak Street Health’s employee retirement and employee benefit plan(s); (vi) Humana, Inc.; (vii) the legal representatives, affiliates, heirs, successors-in-interest, or assigns of any excluded person; and (viii) any persons or entities who or which excluded themselves by submitting a timely and valid request for exclusion that is accepted by the Court. Any “Investment Vehicle” shall not be excluded from the Settlement Class. “Investment Vehicle” means any investment company or pooled investment fund, including but not limited to mutual fund families, exchange traded funds, fund of funds and hedge funds, in which Defendants, or any of them, have, has, or may have a direct or indirect interest, or as to which its affiliates may act as an investment advisor, but in which any Defendant alone or together with its, his or her respective affiliates is not a majority owner or does not hold a majority beneficial interest.
The settlement was approved by the Court on December 12, 2024.
If you have any questions about the settlement or the litigation, please contact the Shareholder Relations Department at 1-800-449-4900.
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