Deadline Approaching for Compass Diversified Holdings Class Action Lawsuit: Take Action Now
Upcoming Deadline for Class Action Lawsuit Against Compass Diversified Holdings
As an investor in Compass Group Diversified Holdings, LLC (NYSE: CODI), it is crucial to be aware of the ongoing class action lawsuit being led by Levi & Korsinsky, LLP. This legal action aims to seek justice for investors who have suffered financial losses due to alleged securities fraud that took place between May 1, 2024, and May 7, 2025.
What Happened?
The lawsuit claims that during the relevant period, the company failed to disclose significant issues related to its internal controls and financial reporting. Specifically, there were undisclosed financing arrangements involving Lugano Holding, Inc., a subsidiary of Compass, which raises serious concerns over the company’s sales, costs, inventory, and accounts receivable. Such omissions led to misleading statements regarding the company’s financial health, which ultimately resulted in a drastic drop in stock price.
On May 7, 2025, Compass announced that its financial statements for fiscal year 2024 were no longer reliable due to an ongoing investigation into its subsidiary. Furthermore, the company indicated a filing delay for its first-quarter 2025 Form 10-Q, exacerbating investor fears. Following this revelation, the share price fell from $17.25 to just $6.55 within a day—a staggering loss for many shareholders.
Who Can Participate?
The class definition extends protection to any investor who endured losses as a result of the alleged fraud during the specified time frame. Affected investors have until July 8, 2025, to request the court to appoint them as lead plaintiffs. However, it is important to note that participation in any recovery does not necessitate serving as a lead plaintiff.
No Cost to Investors
Participating in this class action lawsuit offers investors an opportunity for potential compensation without any out-of-pocket costs or fees. It’s an obligation-free approach that can pave the way for recovering some of the losses incurred during this tumultuous period for Compass.
Why Levi & Korsinsky?
Levi & Korsinsky has established a strong reputation over 20 years for recovering significant amounts for shareholders and has successfully managed high-stakes litigation. With over 70 professionals, the firm specializes in complex securities litigation and features prominently in the ISS Securities Class Action Services' Top 50 Report for seven consecutive years. Investors can have confidence in their expertise.
Contact Information
For investors wishing to learn more or participate in the lawsuit, please reach out to:
- - Joseph E. Levi, Esq.
Phone: (212) 363-7500
- - Ed Korsinsky, Esq.
Fax: (212) 363-7171
Visit website
This is an urgent call to all Compass investors to consider their options and ensure their voices are heard in the legal process. The deadline is fast approaching, and action is needed now to secure potential recovery.
Topics Financial Services & Investing）
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