December 04, 2015 (Shareholders Foundation) - An investigation on behalf of investors of Cresud S.A.C.I.F. y A. (ADR) (NASDAQ:CRESY) shares over potential securities laws violations by Cresud Sociedad Annima Comercial, Inmobiliaria, Financiera y Agropecuaria (Cresud S.A.C.I.F. y A.) and certain of its directors and officers in connection certain financial statements was announced.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Cresud S.A.C.I.F. y A. (ADR) (NASDAQ:CRESY) concerning whether a series of statements by Cresud S.A.C.I.F. y A. regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

Cresud S.A.C.I.F. y A. reported that its Total Revenue rose from $293.67 million for the 12 months period that ended on June 30, 2012 to $472.77 million for the 12 months period that ended on June 30, 2014 while its Net Loss for those time periods increased from $2.19 million to $109.66 million.

On Cresud S.A.C.I.F. y A. (ADR) (NASDAQ:CRESY) owns approximately 64% of IRSA Inversiones y Representaciones S.A (NYSE: IRS).
On November 19, 2015, Spruce Point Capital Management published a report asserting, among other things, that IRSA Inversiones y Representaciones S.A is keeping ~$7 billion of net debt off its books by not consolidating its controlling investment in Israel's IDB Development Corp., and that IRSA Inversiones y Representaciones S.A may therefore be in violation of its debt covenant under its existing US$300m Global Bond indenture that requires it to maintain an EBITDA/Interest coverage of 1.75x.

Shares of Cresud S.A.C.I.F. y A. (ADR) (NASDAQ:CRESY) declined to as low as $10.73 per share on November 25, 2015.

On December 4, 2015, NASDAQ:CRESY shares closed at $11.66 per share.