Saxena White P.A. Files New Securities Class Action Lawsuit Against Driven Brands Holdings Inc. and Related Parties, Expanding the Allegations and Class Period
BOCA RATON, Fla., April 08, 2026 (GLOBE NEWSWIRE) -- Saxena White P.A. has filed a securities class action lawsuit (the “Class Action”) in the United States District Court for the Western District of North Carolina against Driven Brands Holdings Inc. (“Driven Brands” or the “Company”) (Nasdaq: DRVN), and certain Driven Brands executive officers and directors (“Defendants”). The Class Action asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”) and U.S. Securities and Exchange Commission (“SEC”) Rule 10b-5 promulgated thereunder on behalf of all persons who purchased or otherwise acquired Driven Brands common stock from May 3, 2023 through February 24, 2026, inclusive, and were damaged thereby. The Class Action filed by Saxena White is captioned City of Hollywood Police Officers’ Retirement System v. Driven Brands Holdings Inc., et al., No. 3:26-cv-00283 (W.D.N.C.).
The Class Action complaint expands the allegations and class period asserted in a related action against Driven Brands and certain of its executive officers and directors captioned Clark v. Driven Brands Holdings Inc., et al., No. 1:26-cv-01902 (S.D.N.Y. filed Mar. 9, 2026) (the “Clark Action”). Specifically, the Class Action adds former Chief Financial Officer Gary Ferrera as an additional named defendant and expands the class period pled from May 9, 2023 through February 24, 2026 in the Clark Action, to May 3, 2023 through February 24, 2026 in the Class Action, on behalf of all persons and entities that purchased or otherwise acquired Driven Brands common stock.
Pursuant to the notice published on March 9, 2026 in connection with the filing of the Clark Action, and as required by the Private Securities Litigation Reform Act of 1995 (PSLRA), investors wishing to serve as lead plaintiff are required to file a motion for appointment as lead plaintiff by no later than May 8, 2026. Saxena White’s filing of the Class Action does not alter the lead plaintiff deadline.
Driven Brands purports to be the largest automotive services provider in North America, operating under three business segments: Take 5, Franchise Brands, and Car Wash. Leading up to and throughout the Class Period, the Company repeatedly touted the execution of its business strategy centered on growth and generating cash.
The Class Action alleges that Defendants misled investors regarding the Company’s financial health by issuing materially misstated financial statements from fiscal year 2023 through the first three quarters of fiscal year 2025, while simultaneously concealing material weaknesses in the Company’s internal controls over financial reporting throughout the Class Period.
The truth emerged before markets opened on February 25, 2026. On that date, Driven Brands revealed that it had “concluded there were material errors” in its financial statements for fiscal years 2023 and 2024, as well as all quarterly and year-to-date periods in fiscal year 2024 and the first three quarterly and year-to-date periods of fiscal year 2025, and as a result, those financial statements “should not be relied upon” and would require restatement. On this news, the price of Driven Brands common stock fell $5.01 per share, or about 30%, from a closing price of $16.61 per share on February 24, 2026, to a closing price of $11.60 per share on February 25, 2026.
If you purchased Driven Brands common stock during the Class Period and were damaged thereby, you are a member of the “Class” and may be able to seek appointment as lead plaintiff. If you wish to apply to be lead plaintiff, a motion on your behalf must be filed with the U.S. District Courts for the Western District of North Carolina and the Southern District of New York no later than May 8, 2026. The lead plaintiff is a court-appointed representative for absent members of the Class. You do not need to seek appointment as lead plaintiff to share in any Class recovery in the Class Action. If you are a Class member and there is a recovery for the Class, you can share in that recovery as an absent Class member.
You may contact Marco A. Dueñas (mduenas@saxenawhite.com), a Senior Attorney at Saxena White P.A., to discuss your rights regarding the appointment of lead plaintiff or your interest in the Class Action. You also may retain counsel of your choice to represent you in the Class Action. You may obtain a copy of the Complaint and inquire about actively joining the Class Action at www.saxenawhite.com.
Saxena White P.A., with offices in Florida, New York, California, and Delaware, is a leading national law firm focused on prosecuting securities class actions and other complex litigation on behalf of injured investors. Currently serving as lead counsel in numerous securities class actions nationwide, Saxena White has recovered billions of dollars on behalf of injured investors.
CONTACT INFORMATION
Marco A. Dueñas, Esq.
mduenas@saxenawhite.com
Saxena White P.A.
10 Bank Street, Suite 882
White Plains, New York 10606
Tel.: (914) 200-3263
www.saxenawhite.com
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