NEW YORK, March 15, 2019 (GLOBE NEWSWIRE) -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC reminds investors that a class action lawsuit has been filed against Revolution Lighting Technologies, Inc. (“Revolution” or the “Company”) (NASDAQ: RVLT) and certain of its officers, on behalf of shareholders who purchased or otherwise acquired Revolution Lighting securities between March 14, 2014, and November 14, 2018, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: www.bgandg.com/rvlt.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
The Complaint alleges that Defendants made materially false and misleading statements and/or failed to disclose that: (1) that the Company was improperly recognizing revenue for certain transactions; (2) that, as a result, the Company’s financial statements were misstated; (3) that the Company lacked adequate internal controls over financial reporting; (4) that, as a result, Company would be subject to regulatory scrutiny and incur substantial costs; and (5) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
On October 17, 2018, Revolution Lighting reported preliminary financial results for third quarter 2018 with revenue expected to be $33 million, compared to guidance of $40-$41 million. The Company also announced that its Chief Executive Officer, Robert V. LaPenta, offered to acquire all of the common stock of the Company for a price of $2.00 per share. On this news, Revolution Lighting’s stock price fell $0.98 per share, or over 38%, to close at $1.58 per share on October 17, 2018. On October 19, 2018, Revolution Lighting disclosed “an ongoing investigation by the SEC regarding certain revenue recognition practices, including bill and hold transactions that occurred between 2014 through the second quarter of 2018.” On this news, Revolution Lighting’s stock price fell $0.16 per share, or over 10%, to close at $1.43 per share on October 22, 2018. Then, on November 14, 2018, Revolution Lighting announced that its Transaction Committee was considering an updated proposal from LaPenta to acquire all of the Company’s outstanding stock for $1.50 per share, referring in part to the SEC investigation as part of the reason Mr. La Penta wished to take the Company private. Following this news, the Company’s stock price fell $0.55 per share, or nearly 40%, to close at $0.85 per share on November 15, 2018.
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint you can visit the firm’s site: www.bgandg.com/rvlt or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. If you suffered a loss in Revolution Lighting you have until April 1, 2019 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm’s expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Yael Hurwitz
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