CODI INVESTOR ALERT: Compass Diversified Holdings Investors with Substantial Losses Have Opportunity to Lead Compass Diversified Class Action Lawsuit

Core Viewpoint - Compass Diversified Holdings is facing a class action lawsuit due to alleged violations of the Securities Exchange Act of 1934, related to misleading financial statements and irregularities in its subsidiary Lugano Holdings' accounting practices [1][3][4]. Group 1: Class Action Lawsuit Details - The class action lawsuit is titled Augenbaum v. Compass Diversified Holdings, and it involves purchasers of Compass Diversified securities from May 1, 2024, to May 7, 2025 [1]. - Investors have until July 8, 2025, to seek appointment as lead plaintiff in the lawsuit [1]. - The lawsuit alleges that Compass Diversified made false statements and failed to disclose significant accounting violations by Lugano Holdings, which affected the reported financial results for fiscal 2024 [3]. Group 2: Financial Irregularities - On May 7, 2025, Compass Diversified announced that it identified irregularities in Lugano's financing, accounting, and inventory practices, leading to the conclusion that the financial statements for 2024 require restatement [4]. - The announcement resulted in a stock price drop of over 62% for Compass Diversified [4]. Group 3: Legal Representation and Process - The plaintiffs are represented by Robbins Geller Rudman & Dowd LLP, a law firm with extensive experience in prosecuting investor class actions [5]. - The Private Securities Litigation Reform Act of 1995 allows any investor who purchased Compass Diversified securities during the class period to seek lead plaintiff status [6].