NEW YORK, May 08, 2025 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP is investigating potential claims against Compass Diversified Holdings (“Compass” or the “Company”) (NYSE:CODI). The investigation concerns whether Compass and/or certain of its officers have violated the federal securities laws and/or engaged in other unlawful business practices. [LEARN MORE ABOUT THE INVESTIGATION] On May 7, 2025, after the markets closed, Compass filed a Form 8-K which stated that the Audit Committee of Board ...

Core Viewpoint - DJS Law Group is investigating claims on behalf of investors of Compass Diversified for potential violations of securities laws [1] Investigation Details - The investigation has identified irregularities in Lugano's non-CODI financing, accounting, and inventory practices [2] - Moti Ferder, the founder and CEO of Lugano, resigned from all positions effective May 7, 2025, without receiving severance compensation [2] DJS Law Group's Focus - DJS Law Group aims to enhance investor returns through balanced counseling and aggressive advocacy, specializing in securities class actions, corporate governance litigation, and M&A appraisals [3] - The firm represents some of the largest hedge funds and alternative asset managers, emphasizing the value of litigation claims as significant assets [3]

LOS ANGELES, May 8, 2025 /PRNewswire/ -- The Schall Law Firm, a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of Compass Diversified ("Compass" or "the Company") (NYSE: CODI) for violations of the securities laws.The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Compass disclosed on May 7, 2025, that its financial statements for fiscal year 20 ...

Core Viewpoint - Scott+Scott Attorneys at Law LLP is investigating potential misleading statements and failures to disclose material information by Compass Diversified Holdings, which may violate federal securities laws [1]. Company Overview - Compass Diversified Holdings owns and manages a diverse set of middle-market businesses, including Lugano Holdings, Inc., which specializes in luxury jewelry design, manufacturing, and marketing [2]. Recent Developments - On May 7, 2025, Compass issued a press release stating it would not rely on its financial statements for fiscal 2024 due to an ongoing internal investigation into Lugano, leading to a delay in filing its 1Q25 Form 10-Q [3]. - The investigation, conducted by outside counsel and a forensic accounting firm, has preliminarily identified irregularities in Lugano's financing, accounting, and inventory practices [3]. - Following the announcement, Lugano's founder and CEO resigned, and Compass's stock price plummeted by $10.70, or nearly 62%, closing at $6.55 on May 8, 2025, with unusually high trading volume [3].

Core Viewpoint - Compass Diversified's stock plummeted 59% following the announcement that its 2024 financial statements are unreliable due to irregularities at its Lugano Holding subsidiary [1][2]. Group 1: Financial Irregularities - An internal investigation into Lugano's financing and accounting practices has revealed significant irregularities, leading to a delay in filing the first quarter 2025 financial report and a restatement of 2024 results [2][4]. - The investigation is being conducted by outside counsel and a forensic accounting firm, which has already identified issues with Lugano's inventory and non-Compass financing arrangements [2][4]. Group 2: Leadership Changes - Moti Ferder, the founder and CEO of Lugano, resigned from all positions on May 7 and will not receive severance [3]. Group 3: Company Response - Elias Sabo, CEO of Compass Diversified, stated that the findings from the investigation do not reflect the company's values and emphasized the seriousness of the issues at Lugano [4]. Group 4: Legal Investigations - Hagens Berman is investigating potential violations of U.S. securities laws related to Compass Diversified, focusing on whether shareholders were misled and if the company's disclosures met federal obligations [5][6].

Core Insights - Compass Diversified Holdings' shares dropped over 60% on May 8, 2025, due to the company's announcement that its 2024 financial statements are unreliable because of irregularities at its subsidiary, Lugano Holding, Inc. [2] - The company has initiated an internal investigation into Lugano's financial reporting, uncovering irregularities in sales, cost of sales, inventory, accounts receivable, and unrecorded financing arrangements [2] - Following these disclosures, the filing of the Q1 2025 Form 10-Q has been delayed, and Lugano's founder and CEO has resigned without compensation [2] Company Investigation - Block & Leviton is investigating Compass Diversified Holdings for potential securities law violations and is reaching out to investors who have incurred losses [1][4] - Investors who purchased shares and experienced a decline in value may be eligible to recover losses, regardless of whether they sold their investments [3] Whistleblower Information - Individuals with non-public information about Compass Diversified Holdings are encouraged to assist in the investigation or report to the SEC under the whistleblower program, with potential rewards of up to 30% of any successful recovery [6] Legal Representation - Block & Leviton is recognized as a leading securities class action firm, having recovered billions for defrauded investors and representing many top institutional investors [7]

Investigation Overview - Berman Tabacco is investigating potential securities law violations by Compass Diversified Holdings (NASDAQ:CODI) [1] - Compass has initiated an internal investigation into the financing, accounting, and inventory practices of its subsidiary, Lugano Holding, Inc. [2] - The investigation was prompted by concerns reported to management regarding Lugano's practices [2] Internal Investigation Details - The Audit Committee of Compass retained outside legal counsel to assist in the ongoing investigation [2] - The focus of the investigation includes unrecorded financing arrangements and irregularities in sales, cost of sales, inventory, and accounts receivable at Lugano [2] - Due to preliminary findings, the Audit Committee concluded that the consolidated financial statements for the fiscal year ended December 31, 2024, should no longer be relied upon [2] Management Changes - Mordechai Haim 'Moti' Ferder resigned as CEO of Lugano and from all related positions on May 7, 2025, in connection with the investigation [2] - Following the announcement of the investigation, shares of Compass experienced a decline in after-hours trading [2]

Core Points - Compass Diversified (CODI) announced a quarterly cash distribution of $0.25 per share on its common shares, payable on April 24, 2025, to holders of record as of April 17, 2025 [1] - The Board declared a cash distribution of $0.453125 per share on the 7.250% Series A Preferred Shares, payable on April 30, 2025, to holders of record as of April 15, 2025 [2] - A cash distribution of $0.4921875 per share was declared on both the 7.875% Series B and Series C Preferred Shares, also payable on April 30, 2025, to holders of record as of April 15, 2025 [3][4] - CODI's cash distributions are generally considered "qualified dividends" for U.S. federal income tax purposes, contingent on being paid from earnings and profits [5] Company Overview - Since its IPO in 2006, CODI has focused on owning and managing a diverse portfolio of middle-market businesses across various sectors, including branded consumer, industrial, and healthcare [6] - The company employs a long-term disciplined approach and maintains controlling ownership interests in its subsidiaries to enhance cash flow generation and value creation [6] - CODI utilizes cash flows from its subsidiaries to invest in long-term growth, consistently generating strong returns through a culture of transparency and accountability [6]

WESTPORT, Conn., April 01, 2025 (GLOBE NEWSWIRE) -- Compass Diversified Holdings (NYSE:CODI) ("CODI" or the "Company"), an owner of leading middle market branded consumer and industrial businesses, today announced that Matthew Blake has been named Chief Executive Officer of its subsidiary, Arnold Magnetic Technologies Corporation ("Arnold"), a leading global manufacturer of high-performance electric motors, magnets, and thin metals, effective March 31, 2025. Concurrent with his appointment, Blake will join ...

CODI Investor Presentation | 4Q24 February 2025 DISCLAIMER This presentation contains certain forward-looking statements within the meaning of the federal securities laws. These statements may be made a part of this presentation or by reference to other documents we file with the SEC. Some of the forward-looking statements can be identified by the use of forward-looking words. Statements that are not historical in nature, including the words "anticipate," "may," "estimate," "should," "seek," "expect," "plan ...