NEW YORK, Jan. 04, 2022 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Middle District of Florida on behalf of those who acquired Redwire Corporation (“Redwire” or the “Company”) (NYSE: RDW) securities from August 11, 2021 through November 14, 2021, inclusive (the “Class Period”). Investors have until February 15, 2022 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
On September 2, 2021, Redwire merged with Genesis Park Acquisition Corp, a special purpose acquisition company (the “Business Combination”). Redwire offers space solutions and components, with IP for solar power generation and in-space 3D printing and manufacturing.
On November 10, 2021, Redwire announced that it would postpone the release of its third quarter earnings results. The Company “was notified by an employee of potential accounting issues with a business subunit,” and the Audit Committee was investigating the allegations. On this news, the Company’s stock price declined by $1.92 per share, or approximately 16.1%, from $11.91 per share to close at $9.99 per share on November 10, 2021.
Then, on November 15, 2021, Redwire stated that it could not timely file its quarterly report for the period ended September 30, 2021. Due to the pending investigation into the accounting issues at a business subunit, “the Company has not been able to finalize its financial statements or its assessment of the effectiveness of its disclosure controls and procedures and any impact” on the report. On this news, the Company’s stock price declined by $0.75 per share, or approximately 6.67%, from $11.25 per share to close at $10.50 per share on November 15, 2021.
The lawsuit alleges throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) there were accounting issues at one of Redwire’s subunits; and (2) as a result, there were material weaknesses in Redwire’s internal controls over financial reporting.
If you purchased or otherwise acquired Redwire securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP by email at investigations@kmllp.com, or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website: http://www.kmllp.com.
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Contacts
Kirby McInerney LLP
Thomas W. Elrod, Esq.
212-371-6600
https://www.kmllp.com
investigations@kmllp.com
