Sequential Brands Group Investors With Significant Losses Encouraged To Contact Kehoe Law Firm, P.C.
Kehoe Law Firm, P.C. is investigating potential securities claims on behalf of investors of Sequential Brands Group, Inc. (“Sequential Brands” or the “Company”) (NASDAQ: SQBG) to determine whether the Company engaged in securities fraud or other unlawful business practices.
On March 16, 2021, a class action lawsuit was filed against Sequential Brands in United States District Court, Central District of California, on behalf of investors who purchased, or otherwise acquired, the securities of Sequential Brands between November 3, 2016 and December 11, 2020, both dates inclusive (the “Class Period”).
According to the class action complaint, throughout the Class Period, the Sequential Brands Defendants made materially false and/or misleading statements, because they misrepresented and failed to disclose the following adverse facts pertaining to the Company’s business, operations and prospects, which were known to the Sequential Brands Defendants or recklessly disregarded by them.
The Sequential Brands Defendants, according to the class action complaint, made false and/or misleading statements and/or failed to disclose that (1) in late 2016, the Company knew or should have known that its goodwill was likely impaired; (2) the Company avoided and delayed the material write down to goodwill in late 2016 through 2017; (3) the Company understated its operating expenses and net loss and also materially overstated its income from operations, goodwill, and assets from late 2016 through 2017; (4) the Company’s internal controls were deficient; (5) Sequential Brands has failed to restate, correct, or disclose relevant improprieties, deceptive conduct, misstatements, omissions, and control violations; (6) as a result of the foregoing, the Company was at greater risk of regulatory scrutiny and enforcement; and (7) as a result, the Sequential Brands Defendants’ statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.
INVESTORS WHO PURCHASED, OR OTHERWISE ACQUIRED, THE SECURITIES OF SEQUENTIAL BRANDS DURING THE CLASS PERIOD AND SUFFERED SIGNIFICANT LOSSES ARE ENCOURAGED TO COMPLETE KEHOE LAW FIRM’S SECURITIES CLASS ACTION QUESTIONNAIRE OR CONTACT KEVIN CAULEY, DIRECTOR, CLIENT RELATIONS, (215) 792-6676, EXT. 802, [email protected], [email protected], [email protected], TO DISCUSS THE SECURITIES CLASS ACTION INVESTIGATION OR POTENTIAL LEGAL CLAIMS.