Lawsuit Overview
March 28, 2017 - The court granted defendants' motion to dismiss.
April 1, 2016 - The lead plaintiff filed an amended consolidated complaint.
March 2, 2016 - Lead plaintiff and lead counsel were appointed and all cases were consolidated.
April 1, 2015 - An investor in shares of Boulder Brands Inc (NASDAQ: BDBD) filed a lawsuit in the U.S. District Court for the District of Colorado against Boulder Brands Inc over alleged violations of Federal Securities Laws in connection with certain allegedly false and misleading statements made between December 23, 2013 and October 22, 2014.
According to the complaint the plaintiff alleges on behalf of purchasers of Boulder Brands Inc (NASDAQ: BDBD) common shares between December 23, 2013 and October 22, 2014, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that defendants allegedly failed to disclose that Boulder Brands Inc was having problems with its inventory management and the integration of recent acquisitions, that Boulder Brands Inc’s ongoing mix shift to lower margin products made its previously announced margin improvements unattainable, and that as a result of defendants’ statements and omissions, Boulder Brands Inc stock traded at allegedly artificially inflated prices between December 23, 2013 and October 22, 2014, reaching a high of $17.94 per share on April 2, 2014.
On December 23, 2013 Boulder Brands Inc announced that it acquired 100% of the equity interests of Phil's Fresh Foods, LLC, owner of EVOL Foods ( EVOL ), for $48 million, before future tax benefits. Boulder Brands Inc is buying EVOL from founder Phil Anson and a group of investors including Alliance Consumer Growth and an investment vehicle created by Revelry Brands and Spier Capital Management.
On February 27, 2014, Boulder Brands Inc announced its 2013 fourth quarter results. Boulder Brands Inc reported that its annual Total Revenue rose from $369.64 million in 2012 to $461.34 million in 2013 and that its respective Net Income increased from $4.20 million to $10.43 million.
Shares of Boulder Brands Inc (NASDAQ: BDBD) grew to as high as $17.94 per share in April 2014.
On May 8, 2014, Boulder Brands Inc announced its 2014 first quarter results. Boulder Brands Inc reported that its first quarter Revenue rose from $106.65 million in 2013 to $122.85 million in 2014. On August 7, 2014, Boulder Brands Inc announced its 2014 second quarter results. Boulder Brands Inc reported that its second quarter Revenue rose from $110.67 million in 2013 to $131.35 million in 2014.
Then, on October 22, 2014, Boulder Brands Inc provided an update on its anticipated third quarter 2014 financial results and its outlook for the fourth quarter of 2014, disclosing that during “the third quarter, we faced a number of headwinds that impacted our financial results.” Boulder Brands Inc further disclosed that the “the mix shift of our fast-growing, lower margin Natural segment is significantly outpacing our higher margin Balance segment and is therefore putting increased pressure on our gross margins.” In addition, Boulder Brands Inc revealed it was “expecting lower shipments due to a normalizing of certain inventories at our largest customer.”
Shares of Boulder Brands Inc (NASDAQ: BDBD) declined to as low as $8.47 per share on October 24, 2014.
On February 26, 2015, Boulder Brands Inc announced its 2014 fourth quarter results. Boulder Brands Inc reported that while its annual Total Revenue rose from $461.34 million in 2013 to $516.63 million in 2014, its Net Income of $10.43 million in 2013 declined to a Net Loss of $127.08 million in 2014.
On April 2, 2015, shares of Boulder Brands Inc (NASDAQ: BDBD) closed at $9.74 per share.