Did you lose money on your investment in Olaplex Holdings? If so, visit the Olaplex Holdings, Inc. Shareholder Class Action Lawsuit or contact Peter Allocco at (212) 951-2030 or email@example.com. , discuss your rights.
NEW YORK, Jan. 10, 2023 (GLOBE NEWSWIRE) — Bernstein Liebhard LLP, a nationally acclaimed investor rights law firm, has invited investors to file a lead plaintiff motion in a securities class action lawsuit. Remind them that there is a deadline to submit. Investors who purchased or acquired common stock of Olaplex Holdings, Inc. (“Olaplex” or the “Company”) (NASDAQ: OLPX) on or about September 30, 2021 (“IPO” or “Offering”). ). The lawsuit, filed in the United States District Court for the Central District of California, alleges violations of the Securities Act of 1933.
Olaplex manufactures and sells hair care products. The Company provides hair care shampoos and conditioners for the treatment, maintenance and protection of hair. Olaplex claims to join the “prestige segment” of the hair care market, which it claims is “expected to be the fastest growing segment of the global hair care market from 2020 to 2025.”
On August 27, 2021, Olaplex filed a registration statement on Form S-1 with the SEC in connection with its IPO. It was declared effective by the SEC on September 29, 2021, after several amendments (the “Registration Statement”). On October 1, 2021, Olaplex filed a prospectus with the SEC on Form 424B4 in connection with its IPO. This prospectus incorporates and forms part of the Registration Statement (collectively, the “Offer Documents”).
Pursuant to the IPO, Olaplex issued 73,700,000 shares of its common stock to the public at an offering price of $21 per share, resulting in approximately $1,466,445,750 in earnings for the company, after deducting applicable underwriting discounts and fees.
The Offering Documents were negligently prepared and as a result contain false statements of material fact or contain other statements of fact necessary to avoid making misleading statements. It was omitted and was not made in accordance with the rules and regulations governing its creation. Specifically, the offering documents made false and/or misleading statements and/or did not disclose: (ii) we were therefore unlikely to be able to maintain our sales and earnings momentum; (iii) as a result, it is unlikely that the Company will be able to achieve the financial and operational growth anticipated in the Offering Document; (iv) as a result, the Offering Documents were materially false and/or misleading and did not contain information that should have been contained therein;
On Sept. 29, 2022, Piper Sandler analysts downgraded Olaplex from overweight to neutral, saying her research found that “competition and misinformation pose an increased risk to the company.” said. Further, analysts indicated they expected investment in marketing and education to offset the headwinds, adding, “Given ongoing risks, there is little upside room for valuations.” pointed out.
The news caused Olaplex’s stock price to drop $1.33 per share, or 12.15%, to close at $9.62 per share on September 29, 2022.
On October 18, 2022, Olaplex issued a press release announcing that it had “revised its earnings forecast for fiscal 2022.” Olaplex now expects revenue for fiscal 2022 of $704 million to $711 million, down significantly from its previous guidance range of $796 million to $826 million. It says it does. Olaplex said:[t]The company’s updated guidance primarily reflects weaker sales momentum due to macroeconomic pressures, increased competitive activity, including discounting, slower new customer acquisitions, and rebalancing of inventory among certain customers. doing. These are the same macroeconomic pressures. ”
The news caused Olaplex’s stock price to drop $5.55 per share, or 56.69%, to close at $4.24 per share on October 19, 2022.
At the time the complaint was filed, the price of Olaplex’s common stock remained below its offering price of $21 per share, hurting investors.
If you want to act as lead plaintiff, you have until January 17, 2023 to challenge the court. A principal plaintiff is a representative party acting on behalf of other class members in the conduct of a lawsuit. Your ability to share in recovery does not require you to be the primary plaintiff. If you choose not to act, you may remain an absent class member.
If you purchased or acquired Olaplex common stock and/or wish to discuss your legal rights and options, please see the Olaplex Holdings, Inc. Shareholder Class Action Lawsuit or call Peter Allocco at (212) 951-2030 or pallocco @bernlieb.com). .
Since 1993, Bernstein Liebhard LLP has collected over $3.5 billion for clients. In addition to representing private investors, the firm is hired to monitor the assets of, and bring litigation on behalf of, the nation’s largest public and private pension funds. As a result of hundreds of successful lawsuits and class actions, she has been named to The National Law Journal’s ‘Plaintiffs’ Hot List’ 13 times and has been featured on The Legal 500 for 10 consecutive years.
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