According to the Complaint, Revolution Lighting purports to design and manufacture light-emitting diode (“LED”) lighting solutions for industrial, commercial, and government markets.
The Complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, the Complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose: (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 July 29, 2019, the Court issued an Order consolidating cases and appointing Lead Plaintiff and Counsel.
On March 18, 2020, the parties entered into a Stipulation of Settlement. The Court granted preliminary approval of the Settlement on April 10.