Latest news with #non-Compass
Malaysian Reserve
3 days ago
- Business
- Malaysian Reserve
INVESTIGATION ALERT: Edelson Lechtzin LLP Announces an Investigation of Compass Diversified Holdings (NYSE: CODI) and Encourages Investors with Substantial Losses to Contact the Firm
NEWTOWN, Pa., June 11, 2025 /PRNewswire/ — Edelson Lechtzin LLP, a national class action law firm, is investigating potential violations of the federal securities laws involving Compass Diversified Holdings ('Compass') (NYSE: CODI), resulting from allegations of providing potentially misleading business information to the investing public. If you have non-public information that could assist in the Compass investigation, or if you are a Compass investor who suffered a loss and would like to learn more, you can provide your information HERE. You can also contact attorney Eric Lechtzin of Edelson Lechtzin LLP by calling 844-563-5550 or via e-mail at elechtzin@ THE COMPANY: Compass is a publicly traded investment company that acquires and manages businesses across various industries, including Lugano Holdings, Inc. ('Lugano'), which designs, manufactures, and markets luxury jewelry. THE ALLEGED WRONGDOING: On May 7, 2025, Compass issued a press release disclosing an ongoing internal investigation into Lugano's financial statements for fiscal year 2024. The company revealed that the investigation found 'irregularities in Lugano's [non-Compass] financing, accounting, and inventory practices' and that Lugano founder and CEO Moti Ferder resigned after disclosure of the preliminary findings. Following the press release, the price of Compass stock fell $10.70 per share, or approximately 62%, to close at $6.55 per share on May 8, 2025. ABOUT EDELSON LECHTZIN LLP: Edelson Lechtzin LLP is a national class action law firm with offices in Pennsylvania and California. In addition to cases involving securities and investment fraud, our lawyers focus on cases alleging violations of the federal antitrust laws, employee benefit plans under ERISA, wage theft, data security, and consumer fraud. For more information, please contact: Marc H. Edelson, Lechtzin, LECHTZIN LLP411 S. State Street, Suite N-300Newtown, PA 18940Phone: 844-696-7492 or 215-867-2399 ext. 1Email: medelson@ Email: elechtzin@ Web: This press release may be considered Attorney Advertising in some jurisdictions. No class has been certified in this case, so you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. Your ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.
Business Wire
08-05-2025
- Business
- Business Wire
Compass Diversified (CODI) Plunges 59% as Lugano Unit Probe Reveals Deep Accounting Problems
SAN FRANCISCO--(BUSINESS WIRE)--Compass Diversified (NYSE:CODI), a Westport, Connecticut-based investment firm, saw its stock plunge 59% on Thursday, May 8, after announcing that its 2024 financial statements could no longer be relied upon due to irregularities uncovered at its Lugano Holding subsidiary. Hagens Berman is investigating potential violations of the U.S. securities laws and urges investors who purchased Compass shares and suffered substantial losses to submit your losses now. The firm also encourages persons with knowledge that may assist the firm's investigation to contact its attorneys. Stock Rout Follows Internal Investigation at Lugano Subsidiary: The steep selloff followed the company's disclosure of an ongoing internal investigation into Lugano's financing and accounting practices. The probe, led by outside counsel and a forensic accounting firm, has already identified irregularities in Lugano's inventory and non-Compass financing arrangements. As a result, the company said it would delay filing its first quarter 2025 financial report and restate its 2024 results. Leadership Shake-Up and Corporate Fallout The fallout extended to Lugano's founder and chief executive, Moti Ferder, who resigned from all positions on May 7 and will not receive severance. The probe has already exposed significant irregularities in Lugano's financing and accounting practices, prompting the company to disavow its 2024 financials and acknowledge the need for a comprehensive restatement. 'What has been uncovered through the investigation thus far does not reflect who we are as a business and the values we uphold,' said Elias Sabo, Compass Diversified's chief executive, signaling both the seriousness of the issues at Lugano and the company's attempt to distance itself from the subsidiary's conduct. Hagens Berman's Investigation Hagens Berman, a national investor rights firm, has launched an investigation into potential securities violations by Compass Diversified, scrutinizing the company's disclosures and practices. 'We are carefully reviewing Compass Diversified's recent disclosures and the circumstances surrounding the accounting irregularities at Lugano,' said Reed Kathrein, the Hagens Berman partner leading the investigation. 'Our focus is on whether shareholders were misled and whether the company's disclosures met their obligations under federal securities laws.' Mr. Kathrein, a seasoned litigator in securities and investor fraud cases, has previously led high-profile investigations into corporate governance and financial reporting failures. If you invested in Compass Diversified and have substantial losses, or have knowledge that may assist the firm's investigation, submit your losses now » If you'd like more information and answers to frequently asked questions about the Compass Diversified investigation, read more » Whistleblowers: Persons with non-public information regarding Compass Diversified should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email CODI@ Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at Follow the firm for updates and news at @ClassActionLaw.
