RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased National Beverage Corp. (“National Beverage” or the “Company”) (NASDAQ: FIZZ) securities between July 17, 2014 and July 3, 2018, inclusive (the “Class Period”).
National Beverage shareholders may, no later than September 17, 2018, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of National Beverage and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (844) 291-9299 or to sign up online, click here.
National Beverage, through its subsidiaries, develops, produces, markets, and sells a portfolio of flavored beverage products in North America and internationally. The company offers beverages to the active and health-conscious consumers, including sparkling waters under the LaCroix, LaCroix Cúrate, LaCroix NiCola, and Shasta Sparkling Water brand names. The company sells and markets its products through an internal sales force, as well as specialized broker networks.
On May 4, 2017, National Beverage issued a press release stating that it “employs methods that no other company does in this area—VPO (velocity per outlet) and VPC (velocity per capita).” National Beverage asserted that it “utilize[s] two proprietary techniques to magnify these measure [sic] and this creates growth never before thought possible.”
The complaint alleges that on December 8, 2017, National Beverage issued a press release announcing its financial and operating results for the period ended October 28, 2017. Notwithstanding the company’s representations in its May 2017 press releases with respect to “creat[ing] growth never before thought possible,” analyst Laurent Grandet of Credit Suisse assigned an “underperform” rating to the company’s stock. Grandet noted that National Beverage’s business was driven “almost entirely” by the success of its LaCroix sparkling water brand, the growth trajectory of which was in fact slowing. Following this news, National Beverage’s share price fell $11.91, or 10.56%, to close at $100.84 on December 8, 2017.
Then, on June 26, 2018, The Wall Street Journal published an article entitled, “The SEC Has Had Its Own Questions About LaCroix,” reporting that National Beverage had “declined to provide” the SEC “with requested sales figures to clarify [National Beverage’s] sales claims”, following a letter request from the SEC in January 2018. Following this news, National Beverage’s share price fell $9.75, or 8.87%, to close at $100.19 on June 27, 2018.
Finally, on July 3, 2018, The Wall Street Journal published an article entitled, “Billionaire Behind LaCroix Accused of Improper Touching by Two Pilots.” The article reported, in part, that “[t]wo pilots have filed lawsuits alleging sexual harassment. . . claiming 82-year-old Nick A. Caporella inappropriately touched them on multiple trips while they were flying with him in the cockpit of his business jet” and that “[t]he suits claim the unwanted touching occurred on more than 30 trips from 2014 to 2016.” Following this news, National Beverage’s share price fell $2.90, or 2.64%, over the following two trading days, closing at $107.04 on July 6, 2018.
The complaint alleges that during the Class Period, the defendants made false and/or misleading statements and/or failed to disclose that: (i) National Beverage’s sales claims and the supposed underlying “proprietary techniques” lacked a verifiable basis; (ii) National Beverage’s Chairman and Chief Executive Officer, Nick A. Caporella, engaged in a pattern of sexual misconduct between 2014 and 2016; and (iii) as a result, National Beverage’s public statements were materially false and misleading at all relevant times.
If you are a member of the class, you may, no later than September 17, 2018, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as “lead plaintiff.” Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain RM LAW, P.C. or other counsel of your choice, to serve as your counsel in this action.