LOS ANGELES, Oct. 19, 2022 (GLOBE NEWSWIRE) -- The Portnoy Law Firm advises Bed Bath & Beyond Inc. (NASDAQ: BBBY) investors that a class action has been filed on behalf of investors. BBBY investors that lost money on their investment are encouraged to contact Lesley Portnoy, Esq.
Investors are encouraged to contact attorney Lesley F. Portnoy, by phone 844-767-8529 or email: lesley@portnoylaw.com, to discuss their legal rights, or click here to join the case via www.portnoylaw.com. The Portnoy Law Firm can provide a complimentary case evaluation and discuss investors’ options for pursuing claims to recover their losses.
According to the complaint, defendant Ryan Cohen has a history of employing pump and dump schemes to ignite meme stocks to jaw-dropping heights. In March 2022, Cohen's corporation, RC Ventures LLC, bought a nearly 10% stake in BBBY. Thereafter, BBBY gave Cohen three board seats. For four months, BBBY stock climbed from its lowest price of $4.38 per share on July 1, 2022, to $30.00 per share on August 17, 2022.
On August 16, 2022, Cohen filed a Schedule 13D with the SEC indicating he beneficially owned 9,450,100 shares – approximately 11.8% of the shares outstanding – of BBBY. However, the Schedule 13D filing was materially false and constitutes a false written filing because Cohen sold most of the 9,450,100 shares when the filing was submitted and intended to create a buying frenzy of BBBY stocks so he could finish selling his shares at an artificially inflated price. Cohen also filed Form 144 on paper providing notice of his intent to sell up to all his shares and additional call options. This filing was not disclosed to the public until the market closed the next day, August 17, 2022, at 5:07 pm, when Cohen finished dumping his BBBY shares. Right after the disclosure of the filing, BBBY shares tumbled after hours from a record high $30.00 per share to around $22.5 per share.
On August 18, 2022, Cohen reported he had sold all his shares as of August 16, 2022. On this news, BBBY sock fell 45%. Over the next several days, the stock fell from its August 17 high to close at $8.78 per share on August 23, 2022. The Company lost more than $800 million in market capitalization while insiders profited at least $110 million from their sales on August 16 & 17.
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The Portnoy Law Firm represents investors in pursuing claims against caused by corporate wrongdoing. The Firm’s founding partner has recovered over $5.5 billion for aggrieved investors. Attorney advertising. Prior results do not guarantee similar outcomes.
Lesley F. Portnoy, Esq.
Admitted CA and NY Bar
lesley@portnoylaw.com
310-692-8883
www.portnoylaw.com
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