NEW YORK, Feb. 22, 2024 (Globe Newswire) — Levi & Korsinsky, LLP Notifies Investors Exponential Fitness Co., Ltd. (“Xponential Fitness” or the “Company”) (NYSE: XPOF) Securities Class Action Lawsuit.
Class definition: The lawsuit seeks to recover losses on behalf of Xponential Fitness investors who were adversely affected by the alleged securities fraud between July 26, 2021 and December 7, 2023. For more information, click the link below to be contacted by a member of our team.
XPOF Investors may also contact Joseph E. Levi, Esq. Please contact us by email at jlevi@levikorsinsky.com or by phone at (212) 363-7500.
Case details: The complaint filed alleges that the defendants made false statements and/or concealed: (a) Xponential has permanently closed at least 30 stores. (b) His SSS and AUV metrics reported by Xponential were misstated by excluding underperforming stores. (c) 8 of his 10 Xponential brands were losing money every month. (d) More than 50% of his Xponential studios are not generating positive financial returns. (e) more than 60% of his Xponential revenue was one-time and non-recurring; (f) more than 100 of our franchises were sold for at least 75% less than their initial cost; (g) Xponential deceived a number of its franchisees into opening franchises by misrepresenting the studio’s financial condition and profitability and the expected rate of return on new studio openings. (h) Many Xponential franchisees were running unviable studios that were heavily in debt, suffered from high turnover rates, and had no realistic path to profitability. (i) Based on the foregoing, Defendants lacked a reasonable factual basis for their positive statements regarding Xponential’s then-current business operations and future financial prospects.
What’s next? If Xponential Fitness incurs a loss during the relevant period, you have a grace period until the next deadline. April 9, 2024 Ask the court to appoint you as lead plaintiff. You do not have to be the lead plaintiff to participate in the recovery.
It costs nothing: If you are a Class Member, you may be entitled to compensation without paying any out-of-pocket costs or fees. There is no cost or obligation to participate.
Why Levi and Korsinski: Over the past 20 years, the Levi & Korsinski team has developed a track record of securing hundreds of millions of dollars for injured shareholders and winning high-stakes litigation. The firm has extensive expertise representing investors in complex securities litigation and a team of more than 70 employees to serve our clients. Levi & Korsinsky has been ranked as one of the top securities litigation firms in the United States for seven consecutive years in the ISS Securities Class Action Services Top 50 report.
contact:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinski, Esq.
33 Whitehall Street, 17th floor
New York, NY 10004
jlevi@levikorsinsky.com
Phone number: (212) 363-7500
Fax: (212) 363-7171
www.zlk.com
