Grabar Law Office is investigating claims on behalf of shareholders of Olaplex Holdings, Inc. (NASDAQ: OLPX).  The investigation concerns whether certain officers of Olaplex breached the fiduciary duties they owed to the Company.

Current shareholders who acquired Olaplex shares on or near the September 29, 2021 IPO, can seek corporate reforms, the return of funds spent defending litigation back to the company, and a court approved incentive award, at no cost to them.

Why? Olaplex Holdings, Inc. manufactures and sells hair care products. Olaplex purports to participate in the “prestige segment” of the haircare market, which the Company claims is “expected to be the fastest growing segment of the global haircare market from 2020 to 2025.” The claims in this action arise from Olaplex’s alleged materially misleading Offering Documents issued in connection with its September 29, 2021 Initial Public Offering.

An underlying securities fraud class action Complaint alleges that, Oloplex's Offering Documents were negligently prepared and, as a result, contained untrue statements of material fact or omitted to state other facts necessary to make the statements made not misleading and was not prepared in accordance with the rules and regulations governing its preparation. Specifically, the underlying Complaint alleges the Offering Documents made false and/or misleading statements and/or failed to disclose that: (i) macro-economic pressures and competition in the haircare market were more robust than the Company had represented to investors; (ii) accordingly, the Company was unlikely to maintain its sales and revenue momentum; and (iii) as a result, it was unlikely that the Company would be able to achieve the financial and operational growth projected in the Offering Documents; and (iv) as a result, the Offering Documents were materially false and/or misleading and failed to state information required to be stated therein.

On February 7, 2025, the Court in the securities fraud class action issued an Order denying the Defendants’ motion to dismiss the securities fraud class action complaint. In doing so, the Court found that the Plaintiff has sufficiently alleged that Olaplex's registration statement contained omissions or failures to disclose the EU ban on lilial in Olaplex's No. 3 product and that this omission was material, rendering Olaplex's hypothetical warnings misleading to a reasonable investor - and moreover - that the lilial issue was "materially different than its Risk Disclosures led investors to believe.

What You Can Do Now? If you are a current shareholder who acquired shares on or near Olaplex’s September 29, 2021 IPO, you can seek corporate reforms, the return of funds spent defending litigation back to the company, and a court approved incentive award, at no cost to you whatsoever. Please contact Joshua H. Grabar at [email protected] or call 267-507-6085 for further assistance.