Glancy Prongay & Murray LLP Announces Investigation on Behalf of Dollarama, Inc. Investors
LOS ANGELES, Feb. 26, 2019 (GLOBE NEWSWIRE) -- Glancy Prongay & Murray LLP (“GPM”) announces an investigation on behalf of Dollarama, Inc. (“Dollarama” or the “Company”) (OTCMKTS: DLMAF ) investors concerning the Company and its officers’ possible violations of federal securities laws.
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The investigation concerns whether Dollarama and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices. On October 31, 2018, Spruce Point Capital Management published a report alleging ”[q]uestionable accounting and governance practices [that] cast doubt on management and the underlying health of the business.” Specifically, the report claimed that ”[t]he Rossy family’s tight control over management has led to the appearance of nepotism [and] questionable related-party real estate transactions”; that Dollarama’s executive compensation structure “encourag[es] aggressive accounting and inefficient capital allocation that flatters the income statement”; and that ”[m]anagement appears to use aggressive FX hedges and an off-balance-sheet relationship with a Central American retail affiliate to boost margins in a non-transparent way.” On this news, shares of Dollarama fell $2.02 per share, or 7%, to close at $27.08 on October 31, 2018, thereby investors.
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If you purchased Dollarama, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Lesley Portnoy, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles, California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to firstname.lastname@example.org, or visit our website at www.glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
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