|By Business Wire||
|December 3, 2013 09:15 AM EST||
Law Offices of Howard G. Smith announces that a class action lawsuit has been filed in the United States District Court for the Northern District of California on behalf of a class (the “Class”) comprising all persons or entities who purchased the common stock of Violin Memory, Inc. (“Violin” or the “Company”) (NYSE:VMEM) pursuant and/or traceable to the Company’s September 26, 2013, initial public offering (“IPO”).
The Complaint charges Violin, certain of the Company’s executive officers and directors, and the underwriters of the IPO with violations of federal securities laws. Violin develops and supplies memory-based storage systems to bring storage performance in line with high-speed applications, servers and networks in the Americas, Europe and the Asia Pacific. The Complaint alleges that the prospectus and registration statement issued in connection with the Company’s IPO were false and misleading because they failed to disclose that the Company was being negatively impacted by known trends affecting its sales and revenues. Specifically, the Complaint alleges that the Company failed to disclose that, prior to the IPO, the Company’s sales and revenues were being negatively impacted by the reprioritization of federal agencies’ budgets due to the uncertainty surrounding the negotiations over the federal budget and the possibility of a shutdown of the federal government.
On November 21, 2013, the Company reported its 2014 fiscal third quarter financial results and disclosed that it had been negatively impacted by the slowdown in spending by the federal government in its first quarter as a public company. On this news, the Company’s stock price declined $2.89 per share, or 48.17%, to close on November 22, 2013, at $3.11 per share, on unusually high volume.
If you are a member of the Class described above, you may move the Court no later than January 27, 2014, to serve as lead plaintiff; however, you must meet certain legal requirements. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If have any questions concerning this Notice or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, Toll Free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at http://www.howardsmithlaw.com.