LOS ANGELES–(BUSINESS WIRE)–lt;a href=”https://twitter.com/search?q=%24KSHB&src=ctag” target=”_blank”gt;$KSHBlt;/agt; lt;a href=”https://twitter.com/hashtag/CLASSACTION?src=hash” target=”_blank”gt;#CLASSACTIONlt;/agt;–Glancy
Prongay & Murray LLP (“GPM”), a national investors rights law
firm, announces that a class action lawsuit has been filed on behalf of
investors that acquired KushCo Holdings, Inc. (“KushCo” or the
“Company”) (OTC: KSHB)
securities between July 13, 2017 and April 9, 2019, inclusive
(the “Class Period”). KushCo investors have until July 1, 2019 to
file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here
to participate.
If you wish to learn more about this action, or if you have any
questions concerning this announcement or your rights or interests with
respect to these matters, please contact Lesley Portnoy, Esquire, at
310-201-9150, Toll-Free at 888-773-9224, or by email to [email protected],
or visit our website at www.glancylaw.com.
On April 9, 2019, KushCo issued a press release that announced the
Company’s decision to restate prior period financial statements for
fiscal years 2017 and 2018 for non-cash items related to acquisitions of
CMP Wellness, Summit Innovations and Hybrid Creative.
On this news, shares of KushCo fell $0.45, or nearly 8% to close at
$5.35 on April 10, 2019, thereby injuring investors.
The complaint filed in this class action alleges that throughout the
Class Period, Defendants made materially false and/or misleading
statements, as well as failed to disclose material adverse facts about
the Company’s business, operations, and prospects. Specifically,
Defendants failed to disclose to investors: (1) KushCo made material
accounting errors in connection with its acquisitions of CMP Wellness,
Summit, and Hybrid; (2) as a result, KushCo’s previously issued
financial statements as of and for the fiscal years ended August 31,
2018 and August 31, 2017, included in the Company’s Annual Reports on
Form 10-K for such periods, and financial statements as of and for the
quarterly periods ended May 31, 2017, November 30, 2017, February 28,
2018, May 31, 2018 and November 30, 2018, included in the Company’s
Quarterly Reports on Form 10-Q for such periods, could not be relied
upon; (3) KushCo’s net loss for the fiscal year ended August 31, 2018,
was more than twice as high than previously reported; (4) KushCo and its
management’s assurances that its financial statements for those fiscal
years and periods were accurate and fairly reported could not be relied
upon; and (5) as a result, the Company’s public statements were
materially false and misleading at all relevant times.
Follow us for updates on Twitter: twitter.com/GPM_LLP.
If you purchased shares of KushCo during the Class Period you may move
the Court no later than July 1, 2019 to ask the Court
to appoint you as lead plaintiff. To be a member of the Class you need
not take any action at this time; you may retain counsel of your choice
or take no action and remain an absent member of the Class. If you wish
to learn more about this action, or if you have any questions concerning
this announcement or your rights or interests with respect to these
matters, please contact Lesley Portnoy, Esquire, of GPM, 1925 Century
Park East, Suite 2100, Los Angeles California 90067 at 310-201-9150,
Toll-Free at 888-773-9224, by email to [email protected],
or visit our website at www.glancylaw.com.
If you inquire by email please include your mailing address, telephone
number and number of shares purchased.
This press release may be considered Attorney Advertising in some
jurisdictions under the applicable law and ethical rules.
Contacts
Glancy Prongay and Murray LLP, Los Angeles
Lesley Portnoy,
310-201-9150 or 888-773-9224
www.glancylaw.com
[email protected]
