Federal prosecutors are moving forward with plans to file an antitrust lawsuit against several major egg production companies, accusing them of working together to manipulate prices, according to a Wall Street Journal report published Friday.
The legal action will target companies including Cal-Maine Foods and Versova, with sources familiar with the investigation speaking to the newspaper about the upcoming charges.
According to the report, prosecutors allege the egg companies used an industry pricing service as a tool to coordinate their pricing strategies in violation of antitrust laws.
Following news of the potential lawsuit, Cal-Maine Foods saw its stock price drop by nearly 5% during after-hours trading on Friday.
Neither Cal-Maine Foods nor the privately-owned company Versova provided immediate responses when contacted by Reuters for comment on the allegations.
