SAN FRANCISCO, CA / ACCESSWIRE / November 21, 2022 / Hagens Berman urges Olaplex Holdings, Inc. (NASDAQ:OLPX) investors who suffered significant losses to submit your losses now.
Defined Class: Purchasers in Olaplex Holdings' Sept. 30, 2021 IPO
Lead Plaintiff Deadline: Jan. 17, 2023
Contact An Attorney Now: [email protected]
Olaplex Holdings, Inc. (NASDAQ:OLPX) Securities Class Action:
The class action has been filed on behalf of investors who purchased Olaplex shares in or traceable to the company's Sept. 30, 2021 initial public offering ("IPO").
Specifically, Olaplex's IPO documents touted its competitive advantages and several significant tailwinds.
According to the complaint, Olaplex's IPO documents misrepresented and failed to disclose that: (1) macro-economic pressures and competition in the haircare market were more robust than the company represented; (2) accordingly, the company was unlikely to maintain its sales and revenue momentum; and, (3) as a result, it was unlikely that the company would be able to achieve the financial and operational growth projected in its offering documents.
Investors began to learn the truth on Sept. 29, 2022, when Piper Sandler published a negative report on Olaplex in which the analyst said, "competition and misinformation are growing risks to the company" and that she anticipated investments in marketing and education were needed to offset the headwinds.
Then, on Oct. 18, 2022, Olaplex announced that it slashed its revenue guidance for FY 2022. The company blamed "a slowdown in sales momentum that it attribute[d] to macro-economic pressures, increased competitive activity including discounting, and a moderation in new customer acquisition, as well as inventory rebalancing across certain customers[.]"
This news sent the price of Olaplex shares crashing over 56% lower on Oct. 19, 2022, closing at $4.24 or nearly 80% below the IPO price.
"We're focused on investors' losses and proving Olaplex's IPO documents misled investors about its growth prospects," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in Olaplex and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Olaplex 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 [email protected].
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About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation law firm focusing on corporate accountability through class-action law. The firm is home to a robust securities litigation practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and fraud. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Reed Kathrein, 844-916-0895
SOURCE: Hagens Berman Sobol Shapiro LLP