Bragar Eagel & Squire, P.C. Reminds Investors That Class Action Lawsuits Have Been Filed Against Ollie’s, FarFetch, Slack, and Eldorado Resorts and Encourages Investors to Contact the Firm

NEW YORK, Oct. 15, 2019 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C. reminds investors that class action lawsuits have been commenced on behalf of stockholders of Ollie’s Bargain Outlet Holdings, Inc. (NASDAQ: OLLI), FarFetch Limited (NYSE: FTCH), Slack Technologies, Inc. (NYSE: WORK) and Eldorado Resorts, Inc. (NASDAQ: ERI). Stockholders have until the deadlines below to petition the court to serve as lead plaintiff. Additional information about each case can be found at the link provided.

Ollie’s Bargain Outlet Holdings, Inc. (NASDAQ: OLLI)

Class Period: June 6, 2019 to August 28, 2019

Lead Plaintiff Deadline: November 18, 2019

On August 28, 2019, Ollie’s reported that store sales decreased 1.7% during the second quarter of 2019. Further, Ollie’s disclosed that a “bottleneck issue” had existed in its supply chain “for most all of Q2” and was not corrected until “the last week of the quarter.”

On this news, shares of Ollie’s fell $21.41 per share, or over 27%, to close at $56.36 per share on August 29, 2019.

The complaint, filed on September 17, 2019, 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) that the company suffered a supply chain issue that impacted the initial inventory available at new stores; (2) that, as a result, the company lacked sufficient inventory to meet demand at certain store locations; (3) that, as a result, the company’s comparable store sales were likely to decrease quarter-over-quarter; and (4) 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.

For more information on the Ollie’s class action go to: https://bespc.com/olli

FarFetch Limited (NYSE: FTCH)

Class Period: Securities purchased between September 21, 2018 and August 8, 2019 or pursuant to and/or traceable to the company’s September 2018 initial public offering (“IPO”).

Lead Plaintiff Deadline: November 18, 2019

The complaint, filed September 19, 2019, alleges that in the IPO registration statement and throughout the Class Period, defendants failed to disclose material adverse facts about the company’s operations and prospects. Specifically, defendants failed to disclose  that: (1) the company would refuse to reduce merchandise prices to match the rest of the market; (2) this sub-optimal pricing strategy rendered the company’s platform highly susceptible to underpricing by competitors, despite what defendants touted as a “superior” platform; and (3) as a result, the company’s past and projected growth rates were foreseeably unsustainable. As a result of the foregoing, defendants’ statements about the company’s business strategy and growth prospects lacked a reasonable basis at all relevant times.

On or about September 24, 2018, Farfetch held its IPO in which it sold approximately 50 million shares of Class A common stock at a price of $20.00 per share.

On August 8, 2019, Farfetch reported a larger-than-expected loss of $89.6 million for second quarter 2019. The company also announced a $675 million acquisition of New Guards Group and that its Chief Operating Officer had resigned.

On this news, the company’s share price fell $8.12, or over 44%, to close at $10.13 per share on August 9, 2019. By the date this complaint was filed, the company’s stock was trading as low as $10.20 per share, a nearly 50% decline from the $20 IPO price.

For more information on the FarFetch class action go to: https://bespc.com/ftch

Slack Technologies, Inc. (NYSE: WORK)

Class Period: Securities pursuant to and/or traceable to the company’s June 2019 initial public offering (“IPO”)

Lead Plaintiff Deadline: November 18, 2019

On June 20, 2019, the company filed its prospectus with the SEC, which forms part of the Registration Statement. The company registered for the resale of up to 118,429,640 shares of Class A common stock by registered shareholders at a reference price of $26.00. According to the Registration Statement, the resale of the company’s stock was not underwritten by any investment bank and the registered stockholders would purportedly elect whether to sell their shares. Such sales, if any, would be brokerage transactions on the New York Stock Exchange (“NYSE”), and Slack would purportedly not receive any proceeds from the sale of shares of Class A common stock by the registered stockholders.

On September 4, 2019, Slack reported its second-quarter fiscal 2019 results and guidance for the third quarter, expecting a wider loss than analysts predicted. On this news, the Company’s share price fell $3.69 per share, nearly 12%, over two consecutive trading sessions to close at $27.38 per share on September 6, 2019.

By the time this class action complaint was filed, Slack’s stock traded as low as $25.72 per share, a significant decline from the $26.00 per share reference price for the Offering.

The complaint, filed on September 19, 2019, alleges that the Registration Statement was false and misleading and omitted to state material adverse facts. Specifically, defendants failed to disclose to investors: (1) that the company’s Slack Platform was susceptible to recurring service-level disruptions; (2) that such disruptions were increasingly likely to occur as the company scaled its services to a larger user base; (3) that the company provides credits even if a customer was not specifically affected by service-level disruptions; (4) that, as a result, any service-level disruptions would have a material adverse impact on the company’s financial results; 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.

For more information on the Slack class action go to: https://bespc.com/work

Eldorado Resorts, Inc. (NASDAQ: ERI)

Class Period: March 1, 2019 to September 2, 2019

Lead Plaintiff Deadline: November 22, 2019

On September 3, 2019, Eldorado revealed that CEO Tom Reeg, president and chief operating officer Anthony Carano, executive chairman Gary Carano, and director James Hawkins had received subpoenas in May pertaining to an ongoing investigation of the executives trading in an undisclosed company tied to James Hawkins.

On this news, Eldorado’s share price fell $3.09, or over 8%, to close at $35.42 on September 3, 2019.

The complaint, filed on September 23, 2019, alleges that throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that: (1) several of the company’s executive officers, including CEO Thomas Reeg, engaged in improper trading with respect to the securities of another publicly-traded company; and (2) as a result, defendants’ statements about Eldorado’s business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.

For more information on the Eldorado class action go to: https://bespc.com/eri

Bragar Eagel & Squire, P.C. is a New York-based law firm concentrating in commercial and securities litigation.  For additional information about Bragar Eagel & Squire, P.C. please go to www.bespc.com.  Attorney advertising.  Prior results do not guarantee similar outcomes. 

Contacts
Bragar Eagel & Squire, P.C.
Brandon Walker, Esq.
Melissa Fortunato, Esq.
(212) 355-4648
[email protected]
www.bespc.com