Pomerantz LLP is investigating claims on behalf of investors of Revolution Lighting Technologies, Inc. (“Revolution Lighting” or the “Company”) (NASDAQ: RVLT). Such investors are advised to contact Robert S. Willoughby at email@example.com or 888-476-6529, ext. 9980.
The investigation concerns whether Revolution Lighting and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On October 17, 2018, Revolution Lighting reported preliminary financial results for third quarter 2018 with revenue expected to be $33 million, compared to guidance of $40-$41 million. The Company also announced that its Chief Executive Officer, Robert V. LaPenta, offered to acquire all of the common stock of the Company for a price of $2.00 per share. On this news, Revolution Lighting’s stock price fell $0.98 per share, or over 38%, to close at $1.58 per share on October 17, 2018.
On October 19, 2018, Revolution Lighting disclosed “an ongoing investigation by the Securities and Exchange Commission (“SEC”) regarding certain revenue recognition practices, including bill and hold transactions that occurred between 2014 through the second quarter of 2018.” On this news, Revolution Lighting’s stock price fell $0.16 per share, or over 10%, to close at $1.43 per share on October 22, 2018.
Then, on November 14, 2018, Revolution Lighting announced that its Transaction Committee was considering an updated proposal from LaPenta to acquire all of the Company’s outstanding stock for $1.50 per share, referring in part to the SEC investigation as part of the reason La Penta wished to take the Company private. On this news, the Company’s stock price fell $0.55 per share, or nearly 40%, to close at $0.85 per share on November 15, 2018.