CODI INVESTOR DEADLINE: Compass Diversified Holdings Investors with Substantial Losses Have Opportunity to Lead Investor Class Action Lawsuit

Core Viewpoint - Compass Diversified Holdings is facing a class action lawsuit due to alleged violations of the Securities Exchange Act of 1934, with claims of misleading financial statements and irregularities in its subsidiary Lugano Holdings' accounting practices [1][3][4]. Group 1: Class Action Lawsuit Details - The class action lawsuit is titled Augenbaum v. Compass Diversified Holdings, and it involves purchasers of Compass Diversified securities from May 1, 2024, to May 7, 2025 [1]. - Investors have until July 8, 2025, to seek appointment as lead plaintiff in the lawsuit [1]. - The lawsuit alleges that Compass Diversified and its executives made false statements and failed to disclose significant accounting violations at Lugano Holdings [3]. Group 2: Financial Irregularities - Compass Diversified announced the acquisition of a majority interest in Lugano Holdings for an enterprise value of $256 million on September 7, 2021 [2]. - The lawsuit claims that Lugano's financial results for 2024 were artificially distorted due to accounting irregularities, which Compass Diversified failed to address [3]. - On May 7, 2025, Compass Diversified disclosed that it would restate its 2024 financial statements due to identified irregularities, leading to a stock price drop of over 62% [4]. Group 3: Legal Representation and Process - The law firm Robbins Geller Rudman & Dowd LLP is representing the plaintiffs, known for its experience in prosecuting investor class actions [5]. - The Private Securities Litigation Reform Act of 1995 allows any investor who purchased Compass Diversified securities during the class period to seek lead plaintiff status [6]. - The lead plaintiff will represent the interests of all class members and can select a law firm of their choice for litigation [6].