Gainey McKenna & Egleston Announces a Class Action Lawsuit Has Been Filed Against Spectrum Brands Legacy, Inc. f/k/a Spectrum Brands Holdings, Inc. (SPB)
NEW YORK, March 13, 2019 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Spectrum Brands Legacy, Inc. f/k/a Spectrum Brands Holdings, Inc. (“Spectrum” or the “Company”) (NYSE: SPB) in the United States District Court for the Western District of Wisconsin on behalf of those who purchased or acquired the securities of Spectrum between June 14, 2016 through April 25, 2018, inclusive (the “Class Period”), seeking to recover damages caused by Defendants’ violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder.
The Complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose that: (1) Spectrum was facing operational issues with the development of its Ohio and Kansas facilities; (2) these issues were negatively impacting production, shipping levels, and sales; and (3) as a result of the foregoing, the Company’s financial statements were materially false and misleading at all relevant times.
On April 26, 2018, Spectrum issued a press release announcing the Company’s financial and operating results for the fiscal quarter ended April 1, 2018. For the quarter, Spectrum reported net income of $0.8 million, or $0.02 per diluted share, compared to net income of $39.9 million, or $0.68 per diluted share for the comparable period in the prior year. The same day, Spectrum also announced that Andreas R. Rouvé had stepped down as Spectrum’s Chief Executive Officer (“CEO”) and Director and that David M. Maura had been named CEO, effectively immediately. Following this news, Spectrum’s stock price fell $20.50 per share, or roughly 22.10%, to close at $72.22 per share on April 26, 2018.
Investors who purchased or otherwise acquired shares during the Class Period should contact the Firm prior to the May 6, 2019 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at email@example.com or firstname.lastname@example.org.
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