SAN DIEGO, June 2, 2014 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of certain purchasers of Ply Gem Holdings Inc (PGEM) common stock over alleged violations of Federal Securities Laws by Ply Gem Holdings Inc in connection with certain allegedly false and misleading statements.
If you purchased a significant amount of shares of Ply Gem Holdings Inc (PGEM) pursuant and/or traceable to the Company's May 22, 2013 initial public offering, you have certain options and for certain investors are short and strict deadlines running. PGEM investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
On or about May 22, 2013, the SEC declared effective Ply Gem's Form S-1 Registration Statement, as amended (the "Registration Statement") for the initial public offering ("IPO").
The plaintiff alleges that the Registration Statement, and the documents referenced and incorporated therein, negligently failed to disclose certain material events known to defendants that caused the financial information reported in the Registration Statement not to be indicative of Ply Gem's future operating results.
More specifically, the plaintiff claims that these material events included that Ply Gem Holdings Inc had agreed to buy back certain inventory from The Home Depot, Inc. ("Home Depot") as an accommodation related to a new supply agreement between the two companies (the "Supply Agreement"), that the Supply Agreement required that Ply Gem initially sell Home Depot a large volume of lower-priced, lower-margin product, that Ply Gem Holdings Inc was experiencing on-going labor inefficiencies and other ramp-up costs associated with the initial roll out of lower-priced, lower-margin products to Home Depot, that April 2013 was a particularly poor month for the Company, with management noting that "maybe it wasn't our worst April in eight years, but it was our worst in a while" and that high customer inventory at the end of the first quarter was adversely affecting the demand for and sales of Ply Gem Holdings Inc's siding products in April 2013 and May 2013.
The plaintiff seeks to recover damages on behalf of all purchasers of Ply Gem Holdings Inc common shares pursuant and/or traceable to its May 22, 2013 IPO.
Those who purchased shares of Ply Gem Holdings Inc (PGEM) have certain options and should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.