Vertiv Leaders Face Investor Lawsuit Over Response to Inflation

Vertiv Holdings Co.'s senior leaders are facing litigation in Delaware over claims they lied to investors about the company’s ability to pass on inflation costs, leading its stock to crash on news of its steep customer discounts.

The lawsuit, targeting current and former members of Vertiv’s board and management, accuses them of hiding the network infrastructure company’s failed efforts to raise prices for customers like Alphabet Inc. and Microsoft Corp. to avoid being “decimated” by the worst inflation in decades.

Vertiv’s stock cratered in February 2022, wiping out $2.7 billion in market value, on revelations it had actually been forced ...