An investigation on behalf of investors of Olo Inc. (NYSE: OLO) shares over potential securities laws violations by Olo Inc. and certain of its directors and officers in connection with certain financial statements was announced.
The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Olo Inc. (NYSE: OLO) concerning whether a series of statements by Olo Inc. regarding its business, its prospects and its operations were materially false and misleading at the time they were made.
New York based Olo Inc. provides software-as-a-service platform for multi-location restaurants in the United States. Olo Inc. reported that its annual Total Revenue rose from $50.69 million in 2019 to $98.42 million in 2020, and that its Net Loss of $8.25 million in 2019 turned into a Net Income of $3.06 million in 2020.
On March 31, 2021, media outlets reported that the third-party delivery company DoorDash Inc. ("DoorDash") had filed a lawsuit accusing Olo Inc. of fraudulently charging DoorDash higher fees than its competitors, alleging breach of a 2017 contract between the two companies.
Shares of Olo Inc. (NYSE: OLO) declined to as low as $23.92 per share on April 1, 2021.