The Klein Law Firm announces that a class action complaint has been filed on behalf of shareholders of Tempur Sealy International, Inc. (NYSE: TPX) who purchased shares between July 28, 2016 and January 27, 2017. The action, which was filed in the United States District Court for the Southern District of New York, alleges that the Company violated federal securities laws.
In particular, the complaint alleges that the Company made false and/or misleading statements and/or failed to disclose that: (i) during the Class Period, Mattress Firm Holding Corp. (“Mattress Firm”), the Company’s largest customer which accounted for approximately 25% of the Tempur Sealy’s 2015 net sales, had been engaged in active negotiations to be acquired and that any such acquisition was reasonably likely to have a material adverse effect in Tempur Sealy’s 2016 third and fourth quarter operating results; (ii) during the Class Period, Tempur Sealy was engaged in active discussions with Mattress Firm concerning modifications to their long-term supply agreements; (iii) Mattress Firm had been seeking significant economic concessions from Tempur Sealy during the Class Period; (iv) defendants lacked a reasonable basis for the Company’s positive statements associated with Mattress Firm; and (v) accordingly, defendants lacked a reasonable basis for their positive statements about Tempur Sealy’s business and financial prospects.
Shareholders have until May 23, 2017 to petition the court for lead plaintiff status. Your ability to share in any recovery does not require that you serve as lead plaintiff. You may choose to be an absent class member.