RADNOR, PA / ACCESSWIRE / June 4, 2018 / Kaskela Law LLC alerts investors that a class action lawsuit has been filed against Synacor, Inc. (SYNC) ("Synacor" or the "Company") on behalf of purchasers of the Company's securities between May 4, 2016 and March 15, 2018, inclusive (the "Class Period").
IMPORTANT DEADLINE NOTICE: Investors who purchased Synacor securities during the Class Period may, no later than Monday, June 4, 2018, seek to be appointed as a lead plaintiff representative of the investor class. Synacor investors are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq.) at (484) 258–1585 or (888) 715–1740 to discuss their legal rights and options and/or visit www.kaskelalaw.com/case/synacor for additional information about this action.
Synacor operates as a technology development, multiplatform services, and revenue partner for video, Internet, and communications providers. On May 4, 2016, Synacor announced that it had secured a three-year contract to host web and mobile services for AT&T Inc.
On August 9, 2017, Synacor issued a press release disclosing that "a significant portion of the revenue" that the Company was expecting during the remainder of 2017 would be "delayed to 2018." Following this news, shares of the Company's stock fell $1.15 per share, or over 32%, to close on August 10, 2017 at $2.40 per share.
Then, on March 15, 2018, the Company reported that "in the last three quarters of 2017 we generated approximately $25 million in revenue from AT&T." Following this news, shares of the Company's stock fell an additional $0.30 per share, or nearly 15%, to close on March 16, 2018 at $1.75 per share.
The shareholder class action complaint alleges that Synacor and certain of its senior executive officers made false and misleading statements and/or failed to disclose material information to investors about the AT&T contract during the Class Period. The complaint further alleges that investors purchased Synacor's securities at artificially inflated prices during the Class Period and sustained significant investment losses following the Company's disclosures.
Kaskela Law LLC exclusively prosecutes shareholder actions in state and federal courts throughout the country on behalf of investors. For additional information about Kaskela Law LLC please visit www.kaskelalaw.com.
SOURCE: Kaskela Law LLC