Gainey McKenna & Egleston Announces A Class Action Lawsuit Has Been Filed Against Vintage Wine Estates, Inc. (NASDAQ: VWE; VWEWW)

NEW YORK, Nov. 29, 2022 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a securities class action lawsuit has been filed in the United States District Court for the District of Nevada on behalf of all persons or entities who purchased the securities of Vintage Wine Estates, Inc. ("Vintage Wine" or the "Company") VWE VWEWW))) between October 13, 2021 and September 13, 2022, both dates inclusive (the "Class Period").

The Complaint alleges Defendants made false and/or misleading statements and/or failed to disclose that: (i) due to a material weakness related to its inventory controls and procedures, Vintage Wine lacked a reasonable basis to report inventory metrics; (ii) Vintage Wine understated its overhead burden in certain quarters, thereby overstating its adjusted earnings before interest, taxes, depreciation, and amortization; and (iii) as a result, Vintage Wine was reasonably likely to incur significant charges to restate prior reporting.

On September 13, 2022, Vintage Wine revealed that it "recorded $19.1 million in non-cash inventory adjustments identified through efforts t[o] improve and strengthen inventory management, processes and reporting." Vintage Wine also stated that "the [fourth] quarter included approximately $6.8 million in overhead burden that was related to the first and second quarter of fiscal 2022, but not material to the respective periods." On this news, Vintage Wine's share price fell by more than 40%, damaging investors.

Investors who purchased or otherwise acquired shares of Vintage Wine should contact the Firm prior to the January 13, 2023 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.

Please visit our website at http://www.gme-law.com for more information about the firm.