Grabar Law Office Investigates Claims on Behalf of Shareholders of Driven Brands Holdings Inc. (DRVN)

Philadelphia, Pennsylvania--(Newsfile Corp. - January 8, 2024) - A recently filed securities fraud class action complaint alleges that Driven Brands (NASDAQ: DRVN), through certain of its officers and directors, made numerous materially false and misleading statements and omissions pertaining to: (i) Driven Brands' ability to efficiently and effectively integrate a high volume of acquired businesses, including statements related to the status of integrating its U.S. auto glass businesses; and (ii) the performance and competitive position of Driven Brands' car wash business segment. Specifically, it is alleged that the Company repeatedly touted Driven Brands' ability to execute and integrate acquisitions as a "core strength," and assured investors that it had made "significant progress" integrating the auto glass businesses it had acquired. Driven Brands also represented that the large scale of its car wash business served as a "competitive moat" that would preserve Driven Brands' competitive position. The Company downplayed softness in demand for its car wash business and pointed investors to the growth of its car wash subscriptions, which Driven labeled as the "Holy Grail" in the car wash business.

In truth, Driven Brands was several quarters behind on integrating its auto glass businesses, and the Company's car wash business was faltering and more exposed to a decline in demand from retail customers than the Company represented to investors. As a result, the Company's statements concerning its business and prospects, including its fiscal year 2023 financial guidance, were materially misleading and/or lacked a reasonable basis.

Current Driven Brands shareholders who have continuously held Driven Brands shares since prior to October 27, 2021, can seek corporate reforms, the return of funds back to company coffers, and a court approved incentive award at no cost to them.

If you would like to learn more about this matter at no cost to you, you are encouraged to visit https://grabarlaw.com/the-latest/driven-brands-shareholder-investigation/, or contact Joshua H. Grabar at jgrabar@grabarlaw.com or Mia R. Heller at mheller@grabarlaw.com, 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: 267-507-6085
Email: jgrabar@grabarlaw.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/193504