NEW YORK, June 18, 2021 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Southern District of New York on behalf of those who acquired Ubiquiti Inc. (“Ubiquiti” or the “Company”) (NYSE: UI) securities from January 11, 2021 through March 30, 2021, inclusive (the “Class Period”). Investors have until July 19, 2021 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
Ubiquiti, headquartered in New York, New York, manufactures and sells wireless data communication and wired products for enterprises and homes. On March 30, 2021, following the close of the market, cybersecurity news website Krebs on Security (‘Krebs’) reported that Ubiquiti had understated the scale of its data breach, which began in December 2020, and that the Company's statement on the breach ‘downplayed and [was] purposefully written to imply that a 3rd party cloud vendor was at risk and that Ubiquiti was merely a casualty of that, instead of the target of the attack.’ According to the Krebs report, a Ubiquiti security professional noted that the Company had been aware for months that attackers had ‘administrative access to all Ubiquiti AWS accounts, including . . . all user database credentials, and secrets required to forge single sign-on (SSO) cookies.’ On this news, the Company’s stock price fell $50.70 per share, or approximately 14.5%, from its closing price of $349.00 per share on March 30, 2021, to close at $298.30 per share on March 31, 2021, on unusually heavy trading volume.
On April 4, 2021, Krebs published another article, highlighting that Ubiquiti continued to ‘confirm and reinforce th[e] claims’ from the March 30, 2021 article.
The lawsuit alleges that (1) the Company had downplayed the data breach in January 2021; (2) attackers had obtained administrative access to Ubiquiti's servers and obtained access to, among other things, all databases, all user database credentials, and secrets required to forge single sign-on (SSO) cookies; (3) as a result, intruders already had credentials needed to remotely access Ubiquiti's customers' systems; and (4) as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
If you purchased or otherwise acquired Ubiquiti securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600, by email at email@example.com, or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website: http://www.kmllp.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.