NEW YORK, Oct. 31, 2018 /PRNewswire/ -- Pomerantz LLP is
investigating claims on behalf of investors of Dollarama, Inc. ("Dollarama" or the "Company")
(OTCMKTS: DLMAF). Such investors are advised to contact Robert S. Willoughby at
rswilloughby@pomlaw.com or 888-476-6529, ext.
9980.
The investigation concerns whether Dollarama and certain of its officers and/or directors have engaged in securities fraud or
other unlawful business practices.
[Click
here to join a class action]
On October 31, 2018, Spruce Point Capital Management ("Spruce Point") published a report
entitled "Hard To Bargain For A Higher Price". The Spruce Point report highlighted purportedly "[q]uestionable accounting
and governance practices [that] cast doubt on management and the underlying health of the business". Specifically, the
report asserted that "[t]he Rossy family's tight control over management has led to the appearance of nepotism [and] questionable
related-party real estate transactions"; that Dollarama's executive compensation structure "encourag[es] aggressive accounting
and inefficient capital allocation that flatters the income statement"; and that "[m]anagement appears to use aggressive FX
hedges and an off-balance-sheet relationship with a Central American retail affiliate to boost margins in a non-transparent
way."
Following publication of the Spruce Point report, Dollarama's stock price fell $1.81 per share,
or 6.21%, in intraday trading, on October 31, 2018.
The Pomerantz Firm, with offices in New York, Chicago,
Los Angeles, and Paris is acknowledged as one of the premier
firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham
L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class
actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights
of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous
multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
CONTACT:
Robert S. Willoughby
Pomerantz LLP
rswilloughby@pomlaw.com
888-476-6529 ext. 9980
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SOURCE Pomerantz LLP