Core Viewpoint - Johnson Fistel, PLLP has initiated an investigation into board members and executive officers of Compass Diversified Holdings for potential breaches of fiduciary duties and violations of federal securities laws [1]. Group 1: Investigation Details - A class action complaint was filed against Compass Diversified Holdings, alleging that from May 1, 2024, to May 7, 2025, the defendants made false and misleading statements and failed to disclose that the company had overstated the financial performance and stability of its portfolio companies [2]. - The complaint claims that the defendants' positive statements regarding CODI's business, operations, and prospects were materially false and misleading and lacked a reasonable basis [2]. Group 2: Stockholder Rights - Current stockholders who held their Compass Diversified Holdings stock before March 1, 2025, are encouraged to contact Johnson Fistel to discuss their legal rights in this matter [3].

Core Viewpoint - Kuehn Law is investigating potential breaches of fiduciary duties by officers and directors of Compass Group Diversified Holdings, LLC (CODI) related to financial misrepresentations and inadequate internal controls [1][2]. Group 1: Legal Investigation - Kuehn Law, a shareholder litigation firm, is looking into whether certain officers and directors of CODI have breached their fiduciary duties to shareholders [1]. - The investigation is prompted by a federal securities lawsuit alleging that insiders at CODI caused the company to misrepresent or fail to disclose critical financial information [2]. Group 2: Financial Irregularities - The lawsuit claims that CODI's subsidiary, Lugano Holdings, Inc., had unrecorded financing arrangements and irregularities in its sales, cost of sales, inventory, and accounts receivable [2]. - These irregularities rendered the financial statements of CODI unreliable and necessitated a restatement of those financials [2]. - The company is accused of failing to maintain adequate internal controls related to its financial statements, leading to materially false and misleading public statements [2].

Core Points - Compass Diversified (CODI) has entered into a second forbearance agreement with its lenders, extending the previous forbearance period until October 24, 2025, and increasing the availability on its $100 million revolving credit facility from $40 million to $60 million during this period [1][2] - The forbearance agreement follows an investigation into financial and accounting irregularities at its subsidiary, Lugano Holdings, Inc., which has identified issues in financing, accounting, and inventory practices [2][3] - The investigation is progressing as expected, focusing solely on Lugano and not affecting CODI's other subsidiaries, which continue to operate normally and generate significant cash flow [3][4] - CODI's CEO emphasized the company's strong performance across its other eight subsidiaries, maintaining healthy balance sheets and solid liquidity supported by increased access to capital [4]

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Compass Diversified (NYSE:CODI) due to a class action lawsuit alleging breaches of fiduciary duties by the company's board of directors during the specified class period [1][2]. Group 1: Lawsuit Details - The class action complaint was filed on June 6, 2025, covering a class period from May 1, 2024, to May 7, 2025 [1]. - Allegations include that Compass's subsidiary, Lugano Holdings, Inc., had unrecorded financing arrangements and irregularities in its financial reporting, which rendered the overall financial statements of Compass unreliable [2]. - The lawsuit claims that the company failed to maintain adequate internal controls over its financial statements, leading to materially false and misleading public statements [2]. Group 2: Investor Communication - Long-term stockholders of Compass are encouraged to contact Bragar Eagel & Squire for more information regarding their rights and the ongoing investigation [3]. - The law firm offers a no-cost consultation for investors who may have suffered losses during the class period [3]. Group 3: Firm Background - Bragar Eagel & Squire, P.C. is a nationally recognized law firm specializing in representing individual and institutional investors in complex litigation across state and federal courts [4].

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Compass Diversified due to a class action lawsuit alleging breaches of fiduciary duties by the company's board of directors during a specified class period [1][2]. Summary by Relevant Sections Lawsuit Details - The class action complaint was filed on June 6, 2025, covering a class period from May 1, 2024, to May 7, 2025 [1]. - Allegations include that Compass's subsidiary, Lugano Holdings, Inc., had unrecorded financing arrangements and irregularities in its financial reporting, which affected the reliability of the company's overall financial statements [2]. - The lawsuit claims that the company failed to maintain adequate internal controls over its financial statements, leading to materially false and misleading public statements [2]. Investor Information - Long-term stockholders of Compass are encouraged to reach out for more information regarding the claims or their rights related to the lawsuit [3].

Core Viewpoint - A class action securities lawsuit has been filed against Compass Group Diversified Holdings, LLC due to alleged securities fraud affecting investors between February 24, 2022, and May 7, 2025 [1][2]. Group 1: Lawsuit Details - The lawsuit claims that Compass Diversified failed to disclose effective internal controls over financial reporting and critical information regarding its subsidiary, Lugano Holding, Inc., which had undisclosed financing arrangements and irregularities in sales, cost of sales, inventory, and accounts receivable [2]. - The truth about these issues emerged on May 7, 2025, when Compass announced that its financial statements for fiscal 2024 could no longer be relied upon due to an internal investigation into Lugano, leading to a significant drop in stock price from $17.25 to $6.55 per share [2]. Group 2: Next Steps for Investors - Investors who suffered losses during the relevant time frame have until July 8, 2025, to request to be appointed as lead plaintiff, although participation in any recovery does not require serving as a lead plaintiff [3]. - Class members may be entitled to compensation without any out-of-pocket costs or fees [3]. Group 3: Firm Background - Levi & Korsinsky, LLP has a strong track record in securities litigation, having secured hundreds of millions of dollars for shareholders over the past 20 years and consistently ranking among the top securities litigation firms in the United States [4].

Group 1 - The Rosen Law Firm is reminding purchasers of Compass Diversified Holdings securities from March 1, 2023, to May 7, 2025, about the lead plaintiff deadline for a securities class action on July 8, 2025 [1] - Investors who purchased Compass securities may be entitled to compensation without any out-of-pocket fees through a contingency fee arrangement [2] - A class action lawsuit has already been filed, and interested parties can join by contacting the Rosen Law Firm [3][6] Group 2 - The lawsuit alleges that during the class period, Compass' subsidiary, Lugano Holdings, Inc., had unrecorded financing arrangements and irregularities in its financial statements, which affected the reliability of Compass' overall financial statements [5] - The lawsuit claims that Compass failed to maintain adequate internal controls related to its financial statements, leading to materially false and misleading public statements [5]

Core Viewpoint - Compass Diversified (NYSE: CODI) has warned investors not to rely on its previously issued financial statements for fiscal years ended December 31, 2022, and 2023 due to expanded accounting irregularities [1][5]. Group 1: Financial Irregularities - The company disclosed that accounting irregularities at its subsidiary, Lugano Holding, affected financial statements for fiscal years 2022, 2023, and 2024, necessitating restatements [4][5]. - The irregularities include violations of applicable accounting rules and industry practices concerning financing, accounting, and inventory procedures [9]. Group 2: Legal Actions - Following the announcement of accounting issues, Compass Diversified is facing multiple class-action lawsuits, with the lead plaintiff's deadline set for July 8, 2025 [3][4]. - The amended complaint in the case Moreno v. Compass Group Diversified Holdings LLC seeks to represent investors who purchased shares during the expanded class period from February 24, 2022, to May 7, 2025 [3][4]. Group 3: Market Reaction - The market reacted severely to the news of the accounting irregularities, with Compass Diversified's stock price dropping by more than 62% [7]. Group 4: Investigations - Hagens Berman, a national investor rights law firm, is conducting an investigation into potential securities violations by Compass Diversified [8]. - The firm's investigation highlights a lack of effective internal controls over financial reporting, leading to materially misstated financial results [9][10].

Core Viewpoint - The Compass Diversified class action lawsuit alleges violations of the Securities Exchange Act of 1934 by Compass Diversified Holdings and its executives, related to misleading financial statements and irregularities in its subsidiary Lugano Holdings [1][4]. Group 1: Lawsuit Details - The lawsuit is titled Augenbaum v. Compass Diversified Holdings, No. 25-cv-01003 (C.D. Cal.) and seeks to represent purchasers of Compass Diversified publicly traded securities [1]. - The class action lawsuit claims that Compass Diversified made false statements and failed to disclose significant financial irregularities at Lugano Holdings, which affected the reported financial results for fiscal 2024 [4]. - The lawsuit follows a press release from Compass Diversified on May 7, 2025, indicating the need to restate financial statements for fiscal 2024 due to identified irregularities, leading to a stock price drop of over 62% [5]. Group 2: Financial Impact - The acquisition of Lugano Holdings was announced on September 7, 2021, with an enterprise value of $256 million [3]. - The financial results for 2024 were allegedly distorted due to accounting violations and ineffective internal controls, leading to materially misstated financial results [4]. Group 3: Legal Representation - The plaintiffs are represented by Robbins Geller Rudman & Dowd LLP, a law firm with extensive experience in prosecuting investor class actions related to financial fraud [6][8]. - Robbins Geller has secured over $2.5 billion for investors in securities-related class action cases in 2024, highlighting its capability in handling such lawsuits [8].

Core Viewpoint - The Gross Law Firm has issued a notice to shareholders of Compass Group Diversified Holdings, LLC regarding potential legal action due to undisclosed financial issues related to its subsidiary, Lugano Holding, Inc. [1][2] Group 1: Allegations and Financial Impact - Shareholders who purchased shares of CODI from February 24, 2022, to May 7, 2025, are encouraged to contact the firm for possible lead plaintiff appointment [2] - The complaint alleges that Compass failed to disclose effective internal controls over financial reporting and critical information about Lugano, which had undisclosed financing arrangements and irregularities in sales, cost of sales, inventory, and accounts receivable [2] - Following the announcement on May 7, 2025, that its financial statements for fiscal 2024 could no longer be relied upon, Compass' stock price plummeted from $17.25 per share to $6.55 per share in one day [2] Group 2: Next Steps for Shareholders - The deadline for shareholders to register for the class action is July 8, 2025, and they will be enrolled in a portfolio monitoring software for status updates [3] - There is no cost or obligation for shareholders to participate in the case [3] Group 3: Law Firm's Mission - The Gross Law Firm aims to protect the rights of investors who have suffered due to deceit, fraud, and illegal business practices, ensuring companies adhere to responsible business practices [4]