Blyth Visalus Scam? Visalus IPO Securities Laws Vilations, Lawsuits, Credit Downgraded





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Published on Nov 7, 2012

Visalus Scam BREAKING NEWS! Blyth Visalus IPO canceled - stocks lose 40%. Moody's downgrades Blyth's credt to "negative." SEC investigation and lawsuits over securities laws violations according to Wall Street Journal and MarketWatch.


MarketWatch reported:
Blyth's ViSalus unit pulls plans for IPO
"Blyth Inc.'s nutritional supplement unit, ViSalus Inc., withdrew its plans for an initial public offering..."


Stock prices plummeted more than 40% from a high of $46 in mid-August to $18.

MarketWatch Stock chart:
High: 46.15
Low: 18.69

The Wall Street Journal reported a credit downgrade for Blyth:

"Moody's Investors Service lowered its credit ratings on Blyth to negative from stable last week, citing continued weakness in its core direct selling candle and home-fragrance business, as well as uncertainty stemming from the IPO of ViSalus. The ratings firm also said the outlook reflects Blyth's growing reliance upon ViSalus and "the heightened risk profile associated with its business model and the weight-management product category generally in comparison to candles and fragrance products."

Wall Street Journal September 26, 2012

In related news:

According to Shareholders Foundation, "Blyth Inc. faces investigation over possible violations of securities laws

"Oct. 15, 2012 (Shareholders Foundation) -- An investigation on behalf of investors of Blyth, Inc. (NYSE:BTH) shares over potential securities laws violations by Blyth, Inc. and certain of its directors and officers in connection certain financial statements was announced.
The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Blyth, Inc. (NYSE:BTH) concerning whether a series of statements by Blyth, Inc. regarding its business, its prospects and its operations were materially false and misleading at the time they were made. ==

Blyth, Inc. (NYSE:BTH) reported that its Total Revenue rose from $796.60 million for the 12 months period that ended on January 31, 2011 to $888.33 million for the 12 months period that ended on December 31, 2011. However, its Net Income declined over the same time periods from $28.03 million to $22.57 million.
On August 3, 2012, Blyth, Inc. (NYSE:BTH) increased its 2012 Earnings guidance.
Then on August 16, 2012, ) Blyth, Inc. (NYSE:BTH) announced that ViSalus has filed a registration statement on Form S-1 with the U.S. Securities and Exchange Commission for a potential initial public offering ("IPO") of its Class A common stock. Blyth, Inc. said that following the IPO, Blyth will continue to own over 50% of ViSalus' common stock.
Shares of Blyth, Inc. (NYSE:BTH) increased from $33.47 per share on August 2, 2012 to as high as $45.57 per share on August 20, 2012.
Then on September 26, 2012, ViSalus, a subsidiary of Blyth, Inc. (NYSE:BTH), withdrew its initial public offering due to uncertain market conditions.
Shares of Blyth, Inc. (NYSE:BTH) fell from over $45 in August to as low as $24.51 per share on September 27, 2012."


In addition to the securities laws investigation, there are SEC filings and developing class action lawsuits against Blyth and ViSalus.
We will keep you informed as this story continues to develop.



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