Shareholders that lost money on Compass Group Diversified Holdings, LLC (CODI) Urged to Join Class Action – Contact The Gross Law Firm to Learn More

Core Viewpoint - The Gross Law Firm has issued a notice to shareholders of Compass Group Diversified Holdings, LLC (NYSE: CODI) regarding potential legal action due to undisclosed financial issues related to its subsidiary, Lugano Holding, Inc. [1][3] Summary by Relevant Sections Allegations - During the class period from May 1, 2024, to May 7, 2025, Compass allegedly 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 [3] - The company’s positive statements about its financial reporting were deemed materially misleading [3] Impact of the Announcement - On May 7, 2025, 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 per share to $6.55 per share on May 8, 2025 [3] Next Steps for Shareholders - Shareholders who purchased shares of CODI during the specified timeframe are encouraged to register for the class action by July 8, 2025, to potentially become lead plaintiffs [4] - Registered shareholders will receive updates through a portfolio monitoring software [4] Law Firm's Commitment - The Gross Law Firm aims to protect investors' rights and ensure companies adhere to responsible business practices, seeking recovery for losses incurred due to misleading statements or omissions [5]