Federman & Sherwood Announces the Filing of a Securities Class Action Lawsuit against Vince Holding Corp.
Oklahoma City, OK (May 9, 2017) – On May 5, 2017, a securities class action lawsuit was filed in the United States District Court for the Eastern District of New York against Vince Holding Corp. (NYSE: VNCE). The complaint alleges violations of federal securities laws, Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5, including allegations of issuing a series of material or false misrepresentations to the market which had the effect of artificially inflating the market price during the Class Period, which is December 8, 2016 through April 27, 2017. More specifically, this litigation was filed because on December 8, 2016, Vince disclosed that “[t]he Company is currently in the process of transitioning the remainder of the Kellwood systems and services, including…its own enterprise resource planning (“ERP”) and supporting systems and related IT support services.” On April 14, 2017, Vince disclosed that the filing of its Form 10-K for fiscal year 2016 with the SEC will be delayed due to “the transition from Kellwood, the Company’s former parent company, and the integration of the Company’s new ERP System with its internal business processes and third-party systems.” On this news, shares of Vince fell $0.25 per share or over 19% to close at $1.05 per share on April 17, 2017.
Thereafter, on April 28, 2017, the Company announced that results for the fourth quarter came in below its expectations, and attributed the shortfall to “challenges related to our systems conversion, which led to delayed shipments of Spring product and off-price shipments, as well as lower than expected performance in our pre-Spring collection.” On this news, the Company’s share price fell to close at just $1.00 per share on April 28, 2017.
Plaintiff seeks to recover damages on behalf of all Vince Holding Corp. shareholders who purchased common stock during the Class Period and are therefore a member of the Class as described above. You may move the Court no later than Wednesday, July 5, 2017 to serve as a lead plaintiff for the entire Class. However, in order to do so, you must meet certain legal requirements pursuant to the Private Securities Litigation Reform Act of 1995.
To join this class action, click here to obtain an investor certification. Once complete, please email this form to firstname.lastname@example.org, fax to us at (405) 239-2112 or send by regular mail to Federman & Sherwood, 10205 North Pennsylvania Avenue, Oklahoma City, OK 73120, ATTN: Robin.