LEAD PLAINTIFF DEADLINE IS SEPTEMBER 27, 2022
NEW YORK and CHICAGO , Aug. 17, 2022 /PRNewswire/ -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a federal securities class action lawsuit has been filed in the United States District Court for the Northern District of Illinois on behalf of investors of Weber Inc. ("Weber" or the "Company") (NYSE: WEBR) who purchased or otherwise acquired Weber securities pursuant and/or traceable to the registration statement and related prospectus (collectively, the "Registration Statement") issued in connection with the Company's August 2021 initial public offering (the "IPO" or "Offering").
All investors who purchased the shares of Weber Inc.and incurred losses are advised to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774. You may obtain request additional information concerning the action at www.whafh.com.
If you have incurred losses in the shares of Weber Inc., you may, no later than September 27, 2022, request that the Court appoint you lead plaintiff of the proposed class. Please contact Wolf Haldenstein to learn more about your rights as an investor in Weber Inc.
PLEASE CLICK HERE TO JOIN THE CASE
The filed complaint alleges that the Registration Statement 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 Weber was reasonably likely to implement price increases;
- that, as a result, consumer demand for Weber's products was reasonably
likely to decrease;
- that, due to the resulting inventory buildup, Weber was reasonably likely to run promotions to "enhance retail sell through";
- that the foregoing would adversely impact Weber's financial results; and
- that, as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
According to the filed complaint, defendants held the Company's IPO on August 6, 2021, selling almost 18 million shares at $14.00 per share. However, the Registration Statement in support of the IPO was materially false and failed to state that Weber was reasonably likely to implement price increases, which would result in decreased demand for their products. The resulting inventory buildup would then result in Weber running promotions to "enhance retail sell through," which would adversely impact Weber's financial results.
On July 25, 2022, Weber announced its preliminary third quarter 2022 financial results, including net sales between $525 million and $530 million. The Company expected to report a net loss, noting that "profitability was negatively impacted by" several factors, including "promotional activity to enhance retail sell through." Additionally, Weber announced that Chris
Scherzinger "is departing" from his roles as Chief Executive Officer and director of the Company.
On this news, the Company's stock price fell $1.21 per share, or 16%, to close at $6.30 per share on July 25, 2022. By the commencement of the class action, the Company's stock was trading as low as $6.25 per share, a nearly 55% decline from the $14 per share IPO price.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735 or via e-mail at classmember@whafh.com
Contact:
Wolf Haldenstein Adler Freeman & Herz LLP
Patrick Donovan, Esq.
Gregory Stone, Director of Case and Financial Analysis
Email: gstone@whafh.com, donovan@whafh.com or classmember@whafh.com
Tel: (800) 575-0735 or (212) 545-4774
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
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SOURCE Wolf Haldenstein Adler Freeman & Herz LLP
