CODI Investors Have Opportunity to Join Compass Diversified Fraud Investigation with the Schall Law Firm

LOS ANGELES--(BUSINESS WIRE)--The Schall Law Firm, a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of Compass Diversified (“Compass” or “the Company”) (NYSE: CODI) for violations of the securities laws.

The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Compass disclosed on May 7, 2025, that its financial statements for fiscal year 2024 should not be relied upon due to an ongoing investigation of its subsidiary, Lugano Holding, Inc. According to the Company, its investigation ““has preliminarily identified irregularities in Lugano’s non-CODI financing, accounting, and inventory practices,” adding that, “Effective May 7, 2025, Lugano’s founder and CEO, Moti Ferder, resigned from all of his positions at Lugano and will not receive any severance compensation.” Based on this news, shares of Compass fell by more than 59% in afternoon trading on the next day.

If you are a shareholder who suffered a loss, click here to participate.

We also encourage you to contact Brian Schall of the Schall Law Firm, 2049 Century Park East, Suite 2460, Los Angeles, CA 90067, at 310-301-3335, to discuss your rights free of charge. You can also reach us through the firm's website at www.schallfirm.com, or by email at [e-mail].

The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.

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