CODI INVESTIGATION NOTICE: Robbins Geller Rudman & Dowd LLP Announces Investigation into Compass Diversified Holdings and Encourages Investors with Substantial Losses or Witnesses with Relevant Information to Contact the Firm

Core Viewpoint - Robbins Geller Rudman & Dowd LLP is investigating potential violations of U.S. federal securities laws involving Compass Diversified Holdings, focusing on false or misleading statements made by the company and its executives [1] Company Overview - Compass Diversified is an owner of middle market branded consumer and industrial businesses, including Lugano Holding, Inc., which specializes in high-end jewelry design, manufacturing, and marketing [2] Recent Developments - On May 7, 2025, Compass Diversified disclosed a non-reliance on its financial statements for fiscal 2024 due to an ongoing internal investigation into its subsidiary, Lugano Holding, Inc. [3] - The Audit Committee of Compass Diversified's Board of Directors initiated an investigation after concerns were raised regarding Lugano's inventory financing practices, identifying irregularities in non-CODI financing, accounting, and inventory practices [3] - The Audit Committee concluded that the financial statements for 2024 require restatement and should no longer be relied upon, leading to the resignation of Lugano's founder and CEO, Moti Ferder, without severance compensation [3] - Following these revelations, Compass Diversified's stock price fell approximately 62% [3]