Scott+Scott Attorneys at Law LLP Reminds Investors that a Securities Action Has Been Filed Against KinderCare Learning Companies, Inc. (NYSE: KLC)

Core Viewpoint - A securities class action lawsuit has been filed against KinderCare Learning Companies, Inc. for allegedly misleading investors during its October 2024 IPO, claiming that the registration statement failed to disclose significant issues related to child care quality and safety [1][3]. Summary by Sections Class Action Details - The lawsuit is filed in the U.S. District Court for the District of Oregon, asserting claims under the Securities Act of 1933 on behalf of investors who purchased KinderCare common stock during the IPO [1]. - The case is titled Gollapalli v. KinderCare Learning Companies, Inc., et al., Case No. 3:25-cv-01424 (D. Or.) [1]. Allegations Against KinderCare - The class action alleges that the registration statement was false or misleading, failing to disclose incidents of child abuse and neglect at KinderCare facilities [3]. - It claims that KinderCare did not provide the "highest quality care possible" and often failed to meet basic care standards, exposing the company to undisclosed risks of lawsuits and reputational damage [3]. Emergence of Issues - Concerns about KinderCare's practices began to surface on April 3, 2025, when a report highlighted failures in child care at the company [4]. - Subsequent articles and reports raised questions about the safety of children in KinderCare's custody, including alarming incidents such as babies testing positive for cocaine [4]. Stock Performance - On August 12, 2025, the date the class action was filed, KinderCare's stock price was $9.81, a significant drop from its IPO price of $24 less than a year prior [5].