|[April 07, 2018]
SHAREHOLDER ALERT: Pomerantz Law Firm Reminds Shareholders with Losses on their Investment in Ubiquiti Networks, Inc. of Class Action Lawsuit and Upcoming Deadline
Pomerantz LLP announces that a class action lawsuit has been filed
against Ubiquiti (News - Alert) Networks, Inc. ("Ubiquiti" or the "Company") (NASDAQ:
UBNT) and certain of its officers. The class action, filed in United
States District Court, Southern District of New York, and docketed under
18-cv-01841, is on behalf of a class consisting of investors who
purchased or otherwise acquired Ubiquiti securities, seeking to recover
compensable damages caused by defendants' violations of the Securities
Exchange Act of 1934.
If you are a shareholder who purchased Ubiquiti securities between May
9, 2013, and February 16, 2018, both dates inclusive, you have until
April 23, 2018, to ask the Court to appoint you as Lead Plaintiff for
the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com.
To discuss this action, contact Robert S. Willoughby at email@example.com
or 888.476.6529 (or 888.4-POMLAW), toll-free, Ext. 9980. Those who
inquire by e-mail are encouraged to include their mailing address,
telephone number, and the number of shares purchased.
here to join this class action]
Ubiquiti develops technology latforms for high-capacity distributed
Internet access, unified information technology, and next-generation
consumer electronics for home and personal use. The Company does not
employ a traditional sales force. Instead, it purports to "drive brand
awareness largely through the company's user community where customers
can interface directly with R&D, marketing, and support." The Company
calls this user community the "Ubiquiti Community."
The Complaint alleges that throughout the Class Period, Defendants made
materially false and misleading statements regarding the Company's
business, operational and compliance policies. Specifically, Defendants
made false and/or misleading statements and/or failed to disclose that:
(i) the number of the Company's purported user community was drastically
overstated; (ii) Ubiquiti had exaggerated its publicly reported accounts
receivable; and (iii) as a result of the foregoing, Ubiquiti's publicly
disseminated financial statements were materially false and misleading.
On September 18, 2017, Citron Research ("Citron") issued a report
entitled "Cintron Exposes Ubiquiti Networks," (the "Citron Report") in
which Citron detailed a series of "alarming red flags," indicating that
the Company had been deceiving investors and was engaged in "corporate
fraud," including, among other things, that the Company had
misrepresented the size of its purported "Ubiquiti Community", as well
as its levels of accounts receivable, among other things.
On February 20, 2018, Ubiquiti filed a form 8-K with the Securities and
Exchange Commission stating, in material part: "On February 13, 2018,
the Securities and Exchange Commission (the 'SEC' (News - Alert)) issued subpoenas to
Ubiquiti Networks, Inc. (the 'Company') and certain of the Company's
officers requesting documents and information relating to a range of
topics, including metrics relating to the Ubiquiti Community, accounting
practices, financial information, auditors, international trade
practices, and relationships with distributors and various other third
On the news of the SEC subpoenas, Ubiquiti's share price fell more than
25 percent, from $74.04 at the close of the prior trading day, to close
at $55.28 on February 20, 2018.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and
Paris, is acknowledged as one of the premier firms in the areas of
corporate, securities, and antitrust class litigation. Founded by the
late Abraham L. Pomerantz, known as the dean of the class action bar,
the Pomerantz Firm pioneered the field of securities class actions.
Today, more than 80 years later, the Pomerantz Firm continues in the
tradition he established, fighting for the rights of the victims of
securities fraud, breaches of fiduciary duty, and corporate misconduct.
The Firm has recovered numerous multimillion-dollar damages awards on
behalf of class members. See www.pomerantzlaw.com
View source version on businesswire.com: https://www.businesswire.com/news/home/20180407005015/en/
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