Glancy Prongay & Murray LLP Reminds Investors of Looming Deadline in the Class Action Lawsuit Against Olaplex Holdings, Inc. (OLPX)
LOS ANGELES, Jan. 12, 2023 (GLOBE NEWSWIRE) -- Glancy Prongay & Murray LLP ("GPM") reminds investors of the upcoming January 17, 2023 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased or otherwise acquired Olaplex Holdings, Inc. ("Olaplex" or the "Company") (NASDAQ: OLPX) common stock pursuant and/or traceable to the Company's September 2021 initial public offering (the "IPO").
If you suffered a loss on your Olaplex investments or would like to inquire about potentially pursuing claims to recover your loss under the federal securities laws, you can submit your contact information at www.glancylaw.com/cases/olaplex-holdings-inc/. You can also contact Charles H. Linehan, of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at shareholders@glancylaw.com to learn more about your rights.
In September 2021 Olaplex conducted its IPO, selling 73.7 million shares of common stock at $21.00 per share.
On September 29, 2022, Piper Sandler downgraded the stock to Neutral based on work showing that "competition and misinformation pose growing risks to the company." On this news, Olaplex's stock price fell $1.33, or 12.2%, to close at $9.62 per share on September 29, 2022, thereby injuring investors.
Then, on October 18, 2022, Olaplex reduced its financial outlook for fiscal 2022, expecting net sales between $704 million and $711 million. The Company attributed the revised guidance to "a slowdown in sales momentum that it attributes to macro-economic pressures, increased competitive activity including discounting, and a moderation in new customer acquisition." Additionally, Olaplex announced that its Chief Operating Officer was stepping down from her post.
On this news, Olaplex's stock price fell $5.55, or 56.7%, to close at $4.24 per share on October 19, 2022, significantly below the IPO price.
The complaint filed in this class action alleges that Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) macroeconomic pressures and competition in the haircare market were more robust than the Company had represented to investors; (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 the Offering Documents; and (4) as a result, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased or otherwise acquired Olaplex common stock pursuant and/or traceable to the IPO, you may move the Court no later than January 17, 2023 to request appointment as lead plaintiff in this putative class action lawsuit. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact Charles Linehan, 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 shareholders@glancylaw.com, 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.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contacts
Glancy Prongay & Murray LLP, Los Angeles
Charles Linehan, 310-201-9150 or 888-773-9224
shareholders@glancylaw.com
www.glancylaw.com
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