NEW YORK, April 18, 2018 /PRNewswire/ -- Scott+Scott Attorneys at Law LLP ("Scott+Scott"), a national securities and consumer rights litigation firm, reminds investors that a class action lawsuit has been filed against Ubiquiti Networks, Inc. (NASDAQ: UBNT) ("Ubiquiti" or the "Company") and other defendants, related to alleged violations of federal securities laws. If you purchased Ubiquiti securities between May 9, 2013 and February 20, 2018, you are encouraged to contact a Scott+Scott attorney at (844) 818-6980 for additional information. The lead plaintiff deadline is April 23, 2018.
Ubiquiti offers a portfolio of wireless networking products and solutions. The Company does not employ a traditional sales force, "but instead drives brand awareness largely through the company's 'user community' where customers can interface directly with R&D, marketing, and support."
The lawsuit alleges that Ubiquiti and certain of its executive officers made a series of false and misleading statements to investors and failed to disclose: (i) that the size of the Company's purported user community was drastically overstated; (ii) that the Company had exaggerated its publicly reported accounts receivable; and (iii) that as a result of the foregoing, Ubiquiti's publicly disseminated financial statements were materially false and misleading.
On February 20, 2018, Ubiquiti disclosed that on February 13, 2018, the Securities and Exchange Commission had issued subpoenas to Ubiquiti and certain Company 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 parties."
Following this news, the price of Ubiquiti shares dropped $18.76 per share, over 25%, to close on February 20, 2018 at $55.28 per share.
What You Can Do
If you purchased Ubiquiti securities between May 9, 2013 and February 20, 2018, inclusive, or if you have questions about this notice or your legal rights, please contact attorney Rhiana Swartz at (844) 818-6980, or at [email protected].
About Scott+Scott Attorneys at Law LLP
Scott+Scott has significant experience in prosecuting major securities, antitrust, and employee retirement plan actions throughout the United States. The firm represents pension funds, foundations, individuals, and other entities worldwide with offices in New York, London, Connecticut, California, and Ohio.
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