Canopy Growth Corp. Class Action Lawsuit - CGC
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The Canopy Growth class action lawsuit seeks to represent purchasers or acquirers of Canopy Growth Corp. (NASDAQ: CGC) securities between May 31, 2022 and May 10, 2023, inclusive (the “Class Period”). Captioned Turpel v. Canopy Growth Corp., No. 23-cv-04302 (S.D.N.Y.), the Canopy Growth class action lawsuit charges Canopy Growth and certain of its top executives with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the Canopy Growth class action lawsuit, please provide your information in the form on this page. You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at email@example.com. Lead plaintiff motions for the Canopy Growth class action lawsuit must be filed with the court no later than July 24, 2023.
CASE ALLEGATIONS: Canopy Growth produces, distributes, and sells a diverse range of cannabis, hemp, and consumer packaged goods products for recreational and medical use. BioSteel Sports Nutrition Inc. is a Canopy Growth subsidiary that sells sports nutrition and hydration products.
The Canopy Growth class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) there were material weaknesses in Canopy Growth’s internal controls over accounting and financial reporting; (ii) as a result, Canopy Growth improperly booked sales of its BioSteel business unit; and (iii) consequently, Canopy Growth’s revenue was overstated.
On May 10, 2023, Canopy Growth announced that its audited consolidated financial statements for the fiscal year ended March 31, 2022 and the quarters ended June 30, 2022, September 30, 2022 and December 31, 2022 should no longer be relied upon, and would need to be restated because Canopy Growth “identified certain trends in the booking of sales by the [BioSteel] business unit for further review.” Canopy Growth specified that “although the BioSteel Review remains ongoing, [Canopy Growth] has preliminarily identified material misstatements” and that “the correction of the misstatements is expected to reduce certain revenues previously recognized.” On this news, the price of Canopy Growth stock declined nearly 15%, damaging investors.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired Canopy Growth securities during the Class Period to seek appointment as lead plaintiff of the Canopy Growth class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the Canopy Growth class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the Canopy Growth class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the Canopy Growth class action lawsuit.
ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: Robbins Geller Rudman & Dowd LLP is one of the world’s leading complex class action firms representing plaintiffs in securities fraud cases. The Firm is ranked #1 on the most recent ISS Securities Class Action Services Top 50 Report for recovering more than $1.75 billion for investors in 2022 – the third year in a row Robbins Geller tops the list. And in those three years alone, Robbins Geller recovered nearly $5.3 billion for investors, more than double the amount recovered by any other plaintiffs’ firm. With 200 lawyers in 9 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig.