The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise acquired Olo Inc. (“Olo” or the “Company”) (NYSE: OLO) Class A common stock between August 11, 2021 and August 11, 2022, inclusive (the “Class Period”). Olo investors have until November 28, 2022 to file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here to participate.
On February 12, 2020, Olo announced its partnership with Subway restaurants to allow Subway’s network of more than 20,000 U.S. restaurants to handle digital orders from third-party marketplaces.
On August 11, 2022, Olo released its second quarter 2022 financial results, disclosing that it was in the process of losing its business from Subway, and that it had already lost about 2,500 Subway locations during the second quarter, and that the remaining 15,000 Subway locations would be removed from the Company’s active locations count in forthcoming quarters.
On this news, Olo’s stock fell $4.73, or 36.4%, to close at $8.26 per share on August 12, 2022, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Subway was ending its contract with Olo; (2) Olo’s key business metric – active locations – could not continue to grow as Defendants touted due to the loss of Subway’s business; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased Olo Class A common stock during the Class Period, you may move the Court no later than November 28, 2022 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you purchased Olo Class A common stock, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007, by email to email@example.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
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The Law Offices of Frank R. Cruz Announces the Filing of a Securities Class Action on Behalf of Olo Inc. (OLO) Investors