RADNOR, PA --(Marketwired - September 08, 2016) - The law firm of Kessler Topaz Meltzer & Check, LLP announces that a shareholder class action lawsuit has been filed in United States District Court for the Eastern District of New York against The Hain Celestial Group, Inc. (NASDAQ: HAIN) ("Hain" or the "Company") on behalf of purchasers of the Company's securities between November 5, 2015 and August 16, 2016, inclusive (the "Class Period").
Deadline Reminder: Investors who purchased Hain securities during the Class Period may, no later than October 17, 2016, petition the Court to be appointed as a lead plaintiff representative of the class. For additional information please visit www.ktmc.com/new-cases/hain-celestial-group#join.
Hain manufactures, markets, distributes and sells organic and natural food and products. Founded in 1993, the Company sells its products in approximately 70 countries worldwide.
The shareholder class action complaint alleges that Hain and certain of its executive officers made a series of false and misleading statements and/or failed to disclose material adverse information to investors during the Class Period, including the following: (1) that the Company lacked adequate controls over financial reporting; (2) that the Company failed to correctly account for revenue associated with concessions granted to certain distributors in the United States; and (3) as a result of the foregoing, Hain's public statements were materially false and misleading at all relevant times.
On August 15, 2016, Hain announced that it was delaying the release of its Fourth Quarter and Fiscal 2016 financial results, and that it expected to experience a delay in the filing of its Annual Report, after identifying "concessions that were granted to certain distributors in the United States." The Company further announced that it was "evaluating whether the revenue associated with those concessions was accounted for in the correct period and is also currently evaluating its internal control over financial reporting." Additionally, the Company disclosed that it did not expect to achieve its previously announced guidance for Fiscal 2016.
Following this news, shares of the Company's stock declined $14.05 per share, or over 26%, to close on August 16, 2016 at $39.35 per share, on unusually heavy trading volume.
Hain shareholders may, no later than October 17, 2016, petition the Court to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check or other counsel, or may choose to do nothing and remain an absent class member. A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. In order to be appointed as a lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class in the action. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff. For additional information please visit www.ktmc.com/new-cases/hain-celestial-group#join.
Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country. Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). The complaint in this action was not filed by Kessler Topaz Meltzer & Check. For more information about Kessler Topaz Meltzer & Check, or for additional information about participating in this action, please visit www.ktmc.com.