On July 5, 2023, after the market closed, Waldencast filed a current report with the U.S. Securities and Exchange Commission in which it disclosed, among other things that certain financial statements of Obagi, a skin care company that Waldencast had acquired, could no longer be relied upon because Waldencast expected to restate those financial statements.

On this news, the price of Waldencast stock fell over 10%, closing at $6.63 on July 6, 2023.