Kindercare Learning Companies, Inc.(US:KLC) Globenewswire·2025-09-15 17:36Core Viewpoint - A securities class action lawsuit has been filed against KinderCare Learning Companies, Inc. alleging misleading statements during its October 2024 IPO, which has led to significant investor losses [1][2][4]. Group 1: Lawsuit Details - The lawsuit, Gollapalli v. KinderCare Learning Companies, Inc., claims that KinderCare's IPO documents misrepresented the company's operations, presenting a false image of providing "the highest quality care" while concealing a history of safety and care failures [2][5]. - The lawsuit seeks to represent investors who purchased KLC common stock during or traceable to the IPO [1]. - The lead plaintiff deadline for the lawsuit is set for October 14, 2025 [3]. Group 2: Financial Implications - More than 30% of KinderCare's revenues are derived from federal subsidies, making the alleged omissions regarding safety and care failures particularly significant, as they expose the company to undisclosed legal and regulatory risks [3]. - Since the IPO, KinderCare's stock price has declined from $24 per share to lows near $9 per share, attributed to the market's realization of the company's misleading statements [4]. Group 3: Investigation and Legal Options - Hagens Berman is investigating the claims and encourages affected investors to consider their legal options, focusing on the alleged concealment of safety and care failures that inflated the IPO price [5][6]. - The firm is examining whether the failure to disclose key risks constitutes a violation of U.S. securities laws [6].