Bragar Eagel & Squire, P.C. is investigating potential claims on behalf
of Planet Fitness, Inc. (NYSE:PLNT) investors concerning whether the
company’s board of directors violated their fiduciary duties.
On March 9, 2016, Spruce Point Capital Management released a report on
Planet Fitness called “All Pumped Up, and Nowhere to Go but Down.”
Spruce Point wrote about “Questionable Business Strategy with
Unachievable Revenue Goals [and] . . . unsustainable margins.” The
report continued to discuss governance and accounting and financial
disclosure concerning “aggressive ‘gross’ revenue accounting,” a
“misclassification of placement revenue,” a “[p]otential understatement
of the tax benefits payable by $569m,” and a “lack of transparency on
key performance metrics . . . and scant disclosure of performance
targets.” Spruce Point went on to say that “weak internal controls l[ed]
to the sentencing of a Planet Fitness corporate systems manager in
Jan[uary] 2016 who stole $1m through a fraudulent invoice scheme.”
If you purchased Planet Fitness securities, 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 J. Brandon Walker, Esq. by email at investigations@bespc.com,
or telephone at (212) 355-4648, or by filling
out this contact form. There is no cost or obligation to you.
Bragar Eagel & Squire, P.C. is a New York-based law firm concentrating
in commercial and securities litigation. For additional information,
please go to www.bespc.com.
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