OKLAHOMA CITY–(BUSINESS WIRE)–The law firm of Federman & Sherwood has initiated an investigation into Sequential Brands Group, Inc. (NASDAQ: SQBG) with respect to possible violations of federal securities laws.
Sequential Brands Group, Inc. (“Sequential” or “SQBG”), together with its subsidiaries, owns various consumer brands in the active and lifestyle categories. Federman & Sherwood’s investigation focuses on disclosures made by SQBG and whether certain of its officers and/or directors have violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
On December 11, 2020, the U.S. Securities and Exchange Commission (“SEC”) issued a press release announcing that the “SEC Charges Sequential Brands Group Inc. with Deceiving Investors by Failing to Timely Impair Goodwill[.]” Specifically, the press release stated that “[a]s alleged, by avoiding an impairment to its goodwill in 2016, Sequential inflated its income from operations, created a false impression of its financial condition, and misstated its financial statements and reports for almost a year.” On this news, Sequential’s stock price fell sharply during intraday trading on December 11, 2020.
If you purchased SQBG securities, please visit our website at https://www.federmanlaw.com/blog/federman-sherwood-investigates-sequential-brands-group-inc-for-possible-violations-of-federal-securities-laws/ to join the potential securities action. Federman & Sherwood has extensive nationwide experience in representing investors in securities, derivative and merger-related shareholder class actions, and has been appointed as lead counsel in multiple complex cases.