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Legal Recourse for GPGI Shareholders

In a critical development for investors of GPGI, Inc. (NYSE: GPGI), Wolf Haldenstein Adler Freeman & Herz LLP, a prominent law firm known for its work in securities litigation, is actively seeking shareholders who suffered losses from the company's stock declines to join a class action lawsuit. This initiative comes after serious allegations of securities fraud emerged, claiming substantial misrepresentation of company earnings and projections.

Background of the Case

The lawsuit centers around GPGI's management, which is accused of making materially false statements regarding the financial health of the company. Between November 3, 2025, and May 6, 2026, many investors purchased GPGI Class A common stock, under the impression that the company was on a stable growth trajectory. However, as events unfolded, it became evident that GPGI had overstated its acquisition of Husky Technologies Limited (Husky), which was completed in January 2026, leading to a disappointing performance that fell short of earnings expectations.

The allegations against GPGI include:

• - Overstating the Value of Husky: GPGI’s management claimed that the acquisition would significantly enhance its revenues and EBITDA, but the actual results told a different story.
• - Revenue and EBITDA Shortfalls: Investors are particularly concerned that Husky failed to meet the promised revenue targets, thus raising doubts about the integrity of the company’s financial reporting.
• - Motivation Behind Acquisition: The lawsuit suggests that the acquisition was more about generating fees for Resolute Holdings, rather than focusing on enhancing shareholder value, which has left many investors feeling deceived.
• - Lack of Factual Basis in Statements: The legal complaint emphasizes that the management's statements lacked a reasonable factual foundation, misleading investors about the company's actual performance and future prospects.

Stock Performance Decline

As a direct consequence of the alleged misleading statements, the stock price experienced a dramatic decline:

• - On March 12, 2026, following disappointing Q4 2025 results, GPGI's stock dropped by 16.4%, translating to a price decrease of $3.23 per share.
• - Following Q1 2026 results and further cuts to financial guidance, the stock plummeted by another 25.9% on May 7, 2026, with shares falling to $4.52 each. These declines have drastically affected shareholder wealth and confidence in the company.

Timeline of Events

To better understand the context of this situation, it is important to note the timeline of events leading up to the need for legal action:

• - August 2024: GPGI announces the acquisition of Resolute.
• - January 2026: The acquisition of Husky is finalized, raising expectations among investors.
• - February 2026: A negative research report that highlights potential issues surfaces, prompting concern among stakeholders.
• - March-May 2026: Subsequent results lead to a rapid decline in stock value, culminating in the need for class action protection for affected investors.

Why Choose Wolf Haldenstein?

Wolf Haldenstein Adler Freeman & Herz LLP has a longstanding reputation for fighting for investor rights, with over 125 years of experience in securities litigation. The firm emphasizes its commitment to securing justice for individuals who have encountered financial harm due to corporate misrepresentation. If you have suffered losses related to your GPGI shares, the firm strongly encourages you to take action. The lead-plaintiff deadline for this case is September 14, 2026, hence prompt contact is essential to preserve your rights.

How to Participate

Investors affected by the mentioned events are urged to reach out to Wolf Haldenstein to determine eligibility for participation in the lawsuit. There are no fees to contact the firm or to be part of this action. Interested parties can call (800) 575-0735 or (212) 545-4774, or email Gregory Stone, Director of Case and Financial Analysis, to gather more information regarding their potential claims. The firm’s website also holds further details regarding this case.

Conclusion

The landscape for GPGI shareholders is marred by substantial losses due to ongoing issues regarding the integrity of the company's management. However, with the initiation of this class action lawsuit, affected investors may find a pathway toward justice and potential recovery of their financial investments. Don't delay in reaching out to ensure your voice is part of this crucial legal battle.