Landec(US:LFCR) GlobeNewswire News Roomยท2024-08-08 15:20Core Viewpoint - Lifecore Biomedical, Inc. is under investigation for potential securities law violations, with a federal class action lawsuit filed against the company, highlighting significant internal control deficiencies and misleading financial statements [2][4]. Company Overview - Lifecore Biomedical, Inc. trades on NASDAQ under the ticker LFCR and has faced scrutiny regarding its financial reporting practices [2]. Legal Proceedings - A federal securities class action has been initiated against Lifecore, with a deadline of September 27, 2024, for investors to seek the role of lead plaintiff [2]. - The complaint alleges that Lifecore and its executives made false statements and failed to disclose critical information regarding the company's financial health and internal controls [4]. Financial Reporting Issues - Lifecore disclosed on January 10, 2024, that it could not file its Quarterly Report for the period ended November 26, 2023, due to ongoing restatement processes, leading to a stock price drop of 3.98% [5]. - Following a notification from NASDAQ regarding non-compliance with listing requirements due to delayed filings, Lifecore's stock fell by 1.6% on January 16, 2024 [6][7]. - On February 16, 2024, Lifecore received a Staff Delisting Determination from NASDAQ, which could lead to the delisting of its securities [8]. - The company filed its Annual Report on Form 10-K on March 20, 2024, revealing that prior financial statements needed restatement due to identified errors [9]. Stock Performance - Lifecore's stock price experienced significant declines, including a 30.32% drop to close at $5.01 per share on March 20, 2024, following the announcement of the need for restatements [9].