SAN
DIEGO, March 26, 2024 /PRNewswire/ -- DiCello
Levitt LLP announces that if you purchased or acquired Shoals
Technologies Group, Inc. ("Shoals" or the "Company") (NASDAQ: SHLS)
common stock between May 17, 2022 and
November 7, 2023, inclusive (the
"Class Period"), you have until May
21, 2024 to seek appointment as lead plaintiff of
the Shoals class action lawsuit. The Shoals lawsuit charges the
Company and certain of its former senior executive officers with
violations of the Securities Exchange Act of 1934.
If you purchased shares of Shoals common stock between
May 17, 2022 and November 7, 2023, and suffered substantial
losses, and you wish to serve as lead plaintiff in this lawsuit,
you may submit your information here:
https://dicellolevitt.com/securities/shoals/.
You can also contact DiCello Levitt partner Brian O'Mara by calling (888) 287-9005 or at
investors@dicellolevitt.com.
No Class Has Been Certified. Until a class is certified, you are
not represented by counsel unless you retain one. You may select
counsel of your choice. You may also remain an absent class member
and do nothing at this point. An investor's ability to share in any
potential future recovery is not dependent upon serving as lead
plaintiff.
Allegations
According to the Shoals lawsuit, (1) Shoals did not deliver
electrical balance of systems ("EBOS") products that met the
highest levels of quality and reliability; (2) Shoals had received
reports of exposed copper conduit in EBOS wire harnesses in a large
number of solar fields and was aware that a significant portion of
its wire harnesses had defects; (3) Shoals would have to incur
between $60 million to $185 million in costs to remediate the wire
shrinkback issue; and (4) Shoals had understated its cost of
revenue by millions of dollars. As a result, Defendants' positive
statements about the Company's financial guidance, business,
operations, and prospects were materially false and misleading
and/or lacked a reasonable basis at all relevant times.
After the close of markets on November 7,
2023, Defendants revealed that the wire shrinkback issue was
far more severe than previously disclosed. Specifically, the
Company reported that the shrinkback issue affected 30% of
Shoals' harnesses installed between 2020 and 2022, booked a
$50.2 million warranty expense for
the quarter related to the shrinkback issue, and disclosed that the
potential loss related to the shrinkback issue would be between
$59.7 million to $184.9 million. As a result, the price of Shoals'
stock dropped more than 20% over the next two trading days, falling
from a closing price of $16.23 per
share on November 7, 2023 to a
closing price of $12.95 per share on
November 9, 2023, erasing
approximately $550 million in market
capitalization.
About DiCello Levitt
At DiCello Levitt, we are dedicated to achieving justice for our
clients through securities, class action, business-to-business,
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interests. Every day, we put our reputations—and our capital—on the
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Firm of the Year and 2023 Trial Innovation Firm of the Year by the
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about the Firm, including recent trial victories and case
resolutions, please visit www.dicellolevitt.com.
Attorney Advertising. Prior results do not guarantee a similar
outcome.
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SOURCE DiCello Levitt LLP