Law Firm Files Class Action Suit Against Simply Good Foods Over OWYN Acquisition Issues
News provided byThe Simply Good Foods Company · 2 min read
SAN DIEGO, Sept. 4, 2026 /CourierPR/ -- On October 13, 2026, the law firm of Robbins Geller Rudman & Dowd LLP filed a class action lawsuit against The Simply Good Foods Company (NASDAQ: SMPL) and certain of its current and former executive officers. The case, captioned Monroe County Employees' Retirement System v. The Simply Good Foods Company, No. 1:26-cv-06971 (S.D.N.Y.), alleges that the company and its executives violated the Securities Exchange Act of 1934.
The lawsuit claims that Simply Good Foods and its executives failed to disclose critical information about the company’s business, operations, and financial condition during the period from October 24, 2024, to April 8, 2026. Specifically, the case alleges that the company experienced significant issues following the acquisition of Only What You Need, Inc. (OWYN), including the loss of key managerial personnel, increased general and administrative spending, and quality issues with OWYN products.
According to the complaint, the failure to disclose these issues led to a series of negative consequences, including a decline in sales growth, product quality issues, and a significant impairment charge. On October 23, 2025, Simply Good Foods reported a slowdown in its OWYN segment’s sales growth, and on April 9, 2026, the company announced a 17% year-over-year contraction in OWYN’s quarterly sales. The lawsuit further alleges that these undisclosed issues caused the company’s stock price to fall by more than 27% over a two-day trading period.
The complaint asserts that the company’s executives and the company itself failed to disclose the extent of the problems related to the OWYN acquisition, including the loss of key personnel, increased spending, and quality issues that negatively impacted the company’s operations and financial performance. The lawsuit claims these omissions were material and misleading.
Robbins Geller Rudman & Dowd LLP, known for its extensive experience in prosecuting securities fraud cases, is representing the plaintiff. The firm has a track record of recovering significant amounts for investors, with more than $916 million recovered in 2025 and a total of $8.4 billion in the past five years.
Investors who believe they may be eligible to join the lawsuit are encouraged to contact the firm to learn more about their rights and options.