Notice to Long-Term Shareholders of the Scotts Miracle-Gro Company (SMG): Grabar Law Office Is Investigating Claims on Your Behalf

Philadelphia, Pennsylvania--(Newsfile Corp. - August 6, 2024) - If you have held shares of The Scotts Miracle-Gro (NYSE: SMG) since prior to November 1, 2021, and would like to learn more about the investigation, your rights, and potential for recovery, please visit https://grabarlaw.com/the-latest/Scotts-Shareholder-Investigation/, contact Joshua Grabar at [e-mail] or call 267-507-6085.

Grabar Law Office is investigating whether officers and directors of Scotts Miracle-Gro breached their fiduciary duties owed to the company.

WHY: A recently filed federal securities fraud class action complaint alleges that Scotts, via certain of its officers and directors, made materially false and/or misleading statements and/or failed to disclose the extent to which the Company was highly leveraged, with its senior secured credit facilities containing various restrictive covenants and cross-default provisions that required the Company to maintain specific financial ratios, and the channel stuffing scheme in which Scotts engaged, to avoid a breach and default of any of those covenants, which would enable the Company's lenders to declare all outstanding indebtedness immediately due and payable.

As alleged in the complaint, when Scotts realized that it had purchased too much inventory, rather than write down the inventory or otherwise disclose the issue to investors, Scotts executives engaged in a scheme to saturate the Company's sales channels with more inventory than could be sold to end users. Scotts instead booked sales to its distributors as revenue and thereby maintained earnings to debt ratios that just barely exceeded those required by its debt covenants.

WHAT YOU CAN DO NOW: Current Scotts shareholders who have held Scotts shares since on or before November 1, 2021, 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 whatsoever.

If you would like to learn more about this matter, you are encouraged to visit https://grabarlaw.com/the-latest/Scotts-Shareholder-Investigation/, contact Joshua Grabar at [e-mail] or call 267-507-6085.

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Contact:
Joshua H. Grabar, Esq.
Grabar Law Office
One Liberty Place
1650 Market Street, Suite 3600
Philadelphia, PA 19103
Tel: [phone]
Email: [e-mail]

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/218991

The The Scotts Miracle-Gro (A) Stock at the time of publication of the news with a fall of -1,73 % to 64,58EUR on Tradegate stock exchange (05. August 2024, 22:26 Uhr).