A class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of purchasers of IntraLinks Holdings, Inc. (NYSE: IL) common stock during the period between February 17, 2011 and November 10, 2011 (the “Class Period”).
The complaint charges IntraLinks and certain of its officers and directors with violations of the Securities Exchange Act of 1934. The Company provides critical information exchange solutions for its customers. The complaint alleges that, during the Class Period, defendants issued materially false and misleading statements regarding the Company’s business and prospects. Specifically, defendants misrepresented and/or failed to disclose that the Company was experiencing a slowdown in its Enterprise business segment.
On May 11, 2011, the Company announced its financial results for the first quarter of 2011, announcing the reduction of its full year 2011 income projections from $21-$23 million to $17-$19 million. Also on that same day, in a conference call with investors and analysts the Company revealed that a large Enterprise segment customer was dramatically reducing its use of IntraLinks’ products going forward, and, therefore, the Company was reducing its earnings expectations as a result. In response to these announcements, IntraLinks stock declined from $29.99 per share to $20.22 per share on extremely heavy trading volume. On August 10, 2011, IntraLinks issued a press release announcing its financial results for the second quarter of 2011. The Company reported revenues and earnings in line with its guidance, but reduced its outlook for the third quarter of 2011. Also on that same day, the Company announced that it had received a subpoena from the SEC requiring the production of certain business documents. In response to these announcements, the price of IntraLinks stock declined from $12.16 per share to $6.64 per share on extremely heavy trading volume. Then, on November 8, 2011, IntraLinks issued a press release announcing its financial results for the third quarter of 2011. The Company reported continuing problems in its Enterprise business segment. In response to this announcement, the price of IntraLinks common stock declined from $8.79 per share on November 8, 2011, to $4.80 on November 10, 2011.
If you are a current shareholder and/or purchased during the class period between February 17, 2011 and November 10, 2011 and would like to discuss your options of exercising your rights as a shareholder, please contact us.
Please visit the firm's website www.henzellaw.com MARC S. HENZEL, ESQ. ATTORNEY AT LAW LAW OFFICES OF MARC S. HENZEL 431 MONTGOMERY AVE, Suite B MERION STATION, PA 19066
i am a little underwater, buying all the way down. Luckily the big buy was at $5.05 . Still a buy at 5.75 IMO because: -- making money -- experienced in cloud -- large base of clients -- expanding into new niches