Bragar Eagel & Squire, PC announces the filing of a class action lawsuit against Malibu Boats, Inc. and encourages investors to contact the company at Investing.com



NEW YORK, April 30, 2024 (GLOBE NEWSWIRE) — Bragar Eagel & Squire, PC, a nationally recognized shareholder rights law firm, announces that it has filed a class action lawsuit against Malibu Boats (NASDAQ:), Inc. (Malibu Boats, Inc.) (Nasdaq: MBUU) filed in the U.S. District Court for the Southern District of New York on behalf of all persons and entities that purchased or otherwise acquired Malibu Boats securities between November 4, 2022, and April 11, 2024, including Within (during the school day). Investors have until June 28, 2024 to apply to the court to be appointed as lead plaintiff in the lawsuit.

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On February 20, 2024, before the market opened, Malibu Boats announced that the company's chief executive officer (CEO) mutually agreed to no longer serve as CEO.

Affected by this news, the company's stock price fell by $4.33, or 9.1%, to close at $43.15 per share on February 20, 2024, with unusually large trading volume.

Later, after the close on April 11, 2024, Malibu Boats revealed that Tommy's Boats had filed a complaint against the company. After the company disclosed the lawsuit, multiple media outlets published the indictment, accusing the company of carefully planning to inject nearly $100 million worth of inventory into Tommy dealers since the end of 2022 to artificially inflate Malibu sales. According to the complaint, Malibu Boats forcibly transferred inventory of the company's highest-priced, highest-margin, slow-moving Malibu brand (as opposed to the lower-margin but faster-moving Axis brand) to Tommy's dealers. Malibu Boats confirms a sale when the dealer takes delivery of the boat, regardless of whether the boat has been sold to the end user. As a result, the program enables the company to demonstrate strong wholesale demand and sales even as sales to end users decline. According to the complaint, approximately a week before the company announced its separation from defendant Springer, certain Malibu stakeholders admitted to Tommy dealership owners that Malibu was in fact intentionally removing all Tommy inventory. The complaint also alleges that the company withheld incentives from Tommy's for nearly two years and then abruptly severed its relationship with Tommy's.

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Affected by this news, the company's stock price fell by $3.34, or 7.99%, to close at $38.48 per share on April 12, 2024, with unusually large trading volume. The company's common stock price continued to fall over the next consecutive trading day, falling $2.34, or 6%, to close at $36.14 per share on April 15, on unusually heavy trading volume.

The complaint filed in the class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements and failed to disclose material adverse facts about the Company's business, operations and prospects. Specifically, Defendants failed to disclose to investors that: (1) Malibu Boats engaged in an elaborate scheme to overmanufacture and sell nearly $100 million of highest-priced, highest-margin, unsaleable boats to 15 Tommy's dealers Inventory; (2) The Company therefore artificially inflated Malibu's sales performance, market share and stock value; (3) The Company withheld certain incentives and rebates from its dealers; (4) For the above reasons, the Company faced challenges from its top There is a significant risk of litigation by Tommy's, one of the dealers; (5) The company's CEO leaves the company due to his role in the plan; (6) As a result of the above, the defendant's positive statements about the company's business, operations and prospects are materially misleading and/or Lack of reasonable basis.

If you purchased or otherwise acquired Malibu Boats stock and suffered a loss, are a long-term shareholder, have information, would like to learn more about these claims, or have any questions about this announcement or your rights or interests with respect to these matters, please Contact Brandon Walker or Marion Passmore via email surveys@bespc.comcall (212) 355-4648, or via Fill out this contact form. There is no cost or obligation to you.

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About Bragar Eagel & Squire, PC:

Bragar Eagel & Squire, PC is a nationally recognized law firm with offices in New York, California, and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivatives and other complex litigation in state and federal courts across the country.For more information about the company, please visit www.bespc.com. Lawyer advertising. Previous results do not guarantee similar results.

Contact information:

Bragar Eagel & Squire, PC
Mr. Brandon Walker
Mr Marion Passmore
(212)355-4648
surveys@bespc.com
www.bespc.com





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