The Lakeland Industries, Inc. class action lawsuit was filed on behalf of those who purchased or otherwise acquired Lakeland Industries, Inc. (“Lakeland”) (NASDAQ: LAKE) securities between December 1, 2023 and December 9, 2025, inclusive (the “Class Period”). Captioned Purrington v. Lakeland Industries, Inc., No. 26-cv-01501 (S.D.N.Y.), the Lakeland class action lawsuit alleges that Lakeland and/or certain of its officers and/or directors violated federal securities laws by making false or misleading statements and/or omitted to disclose material information.
If you lost money as a result of your Lakeland investment and want to find out more about this action and your rights, fill out the form on this page or contact attorney Jonathan Naji, Esq. of KTMC by calling (484) 270-1453 or via e-mail at info@ktmc.com.
CASE BACKGROUND:
Lakeland manufactures and sells industrial protective clothing and accessories for the industrial and public protective clothing market.
The company employs a “small, strategic, and quick” (“SSQ”) mergers and acquisitions (“M&A”) strategy to drive its growth in revenue and profitability. On December 1, 2023, Lakeland announced its acquisition of Pacific Helmets NZ Limited (“Pacific Helmets”), a purported leading designer and manufacturer of helmets for the firefighting, wildland firefighting, and rescue markets. On February 5, 2024, Lakeland announced its acquisition of Jolly Scarpe S.p.A. and Jolly Scarpe Romania S.R.L. (collectively, “Jolly”), a purported leading designer and manufacturer of professional footwear for the firefighting, military, police, and rescue markets.
COMPLAINT ALLEGATION SUMMARY:
The complaint alleges that, throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material facts about the company’s business, operations, and prospects. Specifically, Defendants misrepresented and/or failed to disclose that: (1) Lakeland was experiencing significant, sustained issues with its Pacific Helmets and Jolly businesses, including shipping-related delays, production issues, and slower than expected rollout of new products; (2) Defendants overstated the anticipated and actual positive impact of these businesses on Lakeland’s financial results, as well as the overall strength and quality of Pacific Helmets’ and Jolly’s respective operations; (3) Lakeland’s business and financial results were significantly deteriorating due to tariff-related headwinds and timing, certification delays, and material flow issues with the company’s acquired businesses; (4) Defendants overstated the strength of their tariff mitigation measures and SSQ M&A strategy; (5) Defendants’ financial guidance was unreliable; and (6) as a result of the foregoing, Defendants’ statements about the company’s business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
WHY DID LAKELAND’S STOCK DROP?
On April 9, 2025, Lakeland announced its disappointing fourth quarter 2025 financial results, attributing it to “a large Jolly fire boots order that was initially expected to ship in Q2 of FY25 [that] has now slipped into FY26,” “weakness . . . at Pacific Helmets resulting from production issues and product offering updates[,]” and “slower than expected” “rollout of new products from Pacific Helmets and Jolly Boots[.]” On this news, the price of Lakeland common stock declined approximately 14.3%. Lakeland continued to announce results below expectations, and then on December 9, 2025, Lakeland further disclosed that it was withdrawing its previously issued guidance for the full year 2026, and would not provide guidance going forward as the foregoing “challenges have affected our forecasting ability[.]” That same day, Lakeland disclosed that its Chief Financial Officer had been terminated, effective December 31, 2025. On this news, the price of Lakeland common stock declined nearly 39%.
THE LEAD PLAINTIFF PROCESS:
The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired Lakeland securities during the Class Period to seek appointment as lead plaintiff in the Lakeland class action lawsuit. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Filling out the online form above or communicating with any counsel is not necessary to participate or share in any recovery achieved in this case. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of his/her choice, or may choose to do nothing and remain an inactive class member.
ABOUT KESSLER TOPAZ MELTZER & CHECK, LLP:
Kessler Topaz Meltzer & Check, LLP (KTMC) is a leading U.S. plaintiff-side law firm focused on securities-fraud class actions and global investor protection. The firm represents individual investors as well as institutions, such as major pension funds, asset managers, and international investors. KTMC has led some of the largest recoveries in securities litigation and has been recognized by peers and the legal media with numerous accolades, including The National Law Journal’s Plaintiff’s Hot List and Trailblazers in Plaintiffs' Law, BTI Consulting Group’s Honor Roll of Most Feared Law Firms, The Legal Intelligencer’s Class Action Firm of the Year, Lawdragon’s Leading Plaintiff Financial Lawyers, and Law360’s Titans of the Plaintiffs Bar. The firm operates globally with offices in Pennsylvania and California. KTMC has recovered over $25 billion for our clients and the classes they represent.