NEW YORK, Aug. 19, 2014 /PRNewswire/ -- Shares of Fabrinet ("Fabrinet" or the "Company") (FN) have plunged precipitously on news that the Company has initiated an investigation of its internal and accounting controls. The Company stated that it uncovered issues with its accounting during the fourth quarter of its fiscal year, which ended on June 27, 2014. In addition to the accounting irregularities, the Company is investigating potential deficiencies regarding its disclosure controls and the procedures and internal controls related to its financial reporting. The United States Securities and Exchange Commission has been alerted to the potential fraud at the Company. As a result of its accounting problems, the Company postponed its fourth quarter and fiscal year 2014 financial results, and canceled its quarterly conference call.
Following the announcement of the Company's accounting irregularities, the trading price of the Company's stock price dropped over 18%, falling $3.22 per share to a close of $14.53 on August 18.
Our investigation of the Company and certain of its officers and directors seeks to determine how widespread any potential accounting violations extend and whether any insiders at the Company personally profited by the alleged accounting improprieties. The investigation also includes an analysis of how the rights of purchasers of Fabrinet's recent secondary offering of 3.15 million shares, priced at $18.70 and conducted in May and June of 2014, may be affected by the accounting issues and resulting drop in shareholder value.
If you purchased Fabrinet securities and have suffered losses in excess of $100,000 and have questions about your legal rights, please contact us at no cost to:
Tripp Levy PLLC
New York, New York
Toll free: 800-511-7037
Tripp Levy PLLC represents individual and institutional shareholders and, along with its affiliates, has recovered billions of dollars for shareholders in similar actions around the globe. Tripp Levy PLLC is affiliated with the law firm Milberg LLP. Attorney advertising. Prior results do not indicate a similar outcome.
SOURCE Tripp Levy PLLC