Lawsuit filed for Investors in Party City Holdco Inc. (OTC: PRTYQ, formerly NYSE: PRTY) in effort to Recover Losses

An investor, who purchased shares of Party City Holdco Inc. (OTC: PRTYQ, formerly NYSE: PRTY), filed a lawsuit over alleged violations of Federal Securities Laws by Party City Holdco Inc. in connection with certain allegedly false and misleading statements made between November 8, 2022 and June 9, 2023.

Investors, who purchased a significant amount of shares of Party City Holdco Inc. (OTC: PRTYQ, formerly NYSE: PRTY) between November 8, 2022 and June 9, 2023, have certain options and for certain investors are short and strict deadlines running. Deadline: October 2, 2023. Party City Holdco Inc. (OTC: PRTYQ, formerly NYSE: PRTY investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

Woodcliff Lake, NJ based Party City Holdco Inc. designs, manufactures, sources, and distributes party goods worldwide.

On January 17, 2023, Party City Holdco Inc. abruptly filed for bankruptcy, disclosing the Company's ongoing liquidity shortfall, its need for loans beyond credit lines available, and its inability to find lenders willing to provide those loans.
On June 9, 2023, Party City Holdco Inc. further revealed that its audit firm had resigned due to a disagreement about the Company's decision to not include a "going concern" warning in its third quarter 2022 financial report, which would have alerted investors to the Company's potential inability to continue as a going concern. Furthermore, the Company also disclosed that there was a "material weakness in internal control over financial reporting" at the time of the third quarter 2022 10-Q.

The plaintiff claims that between November 8, 2022 and June 9, 2023, the defendants made false statements and/or concealed that the Company affirmatively misrepresented that its capital resources "will be adequate to meet our liquidity needs for at least the next 12 months", that omitted that there was substantial doubt about the Company's ability to continue as a going concern, that downplayed the nature and extent of the Company's then-existing liquidity problems, that omitted that the Company's existing credit facilities were insufficient to satisfy its operational needs and that it was unable to obtain additional loans in the normal course of business, and that omitted that there was a material weakness in its internal control over financial reporting.

Those who purchased shares of Party City Holdco Inc. (OTC: PRTYQ, formerly NYSE: PRTY) have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.