SAN DIEGO, CA / ACCESSWIRE / October 15, 2019 / The Shareholders Foundation, Inc. announces that a lawsuit is pending for certain investors in Pivotal Software, Inc. (PVTL) shares.
In April 2018, Pivotal Software, Inc commenced the initial public offering ("IPO"), issuing over 42 million shares of Pivotal common stock to the investing public at $15.00 per share, all pursuant to the Registration Statement, raising more than $638 million in gross proceeds.
On June 4, 2019, Pivotal Software, Inc. reported its financial and operating results for the first quarter of 2019. Wedbush analyst Daniel Ives called the quarter a "train wreck" and characterized the Company's deferred revenue and billings numbers as "disastrous". He further asserted that Pivotal's "management team does not have a handle on the underlying issues negatively impacting its sales cycles and the activity in the field which gives us concern that this quarter will be the start of some ‘dark days ahead' for Pivotal (and its investors)." Shares of Pivotal Software, Inc. (PVTL) declined to $10.10 per share on June 5, 2019.
A lawsuit was filed in June 2019 against Pivotal Software, Inc. over alleged securities laws violations. The plaintiff alleges that the defendants made false and/or misleading statements and/or failed to disclose that Pivotal Software, Inc was facing major problems with its sales execution and a complex technology landscape, that the foregoing headwinds resulted in deferred sales, lengthening sales cycles, and diminished growth as its customers and the industry's sentiment shifted away from Pivotal's principal products because the Company's products were outdated, inadequate, and incompatible with the industry-standard platform, and that as a result, the Company's public statements were materially false and misleading at all relevant times
On August 22, 2019,VMware, Inc. and Pivotal Software, Inc. (PVTL) announced that the companies have entered into an agreement under which VMware will acquire Pivotal for a blended price per share of $11.71 , comprised of $15 per share in cash to Class A stockholders, and the exchange of shares of VMware's Class B common stock for shares of Pivotal Class B common stock held by Dell Technologies , at an exchange ratio of 0.0550 shares of VMware Class B stock for each share of Pivotal Class B stock. The proposed takeover is under investigation by several law firms over potential wrongdoing.
Those who purchased Pivotal Software, Inc. (PVTL) shares should contact the Shareholders Foundation, Inc.
Shareholders Foundation, Inc.
+1 (858) 779-1554
3111 Camino Del Rio North
San Diego, CA 92108
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. Any referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is only provided as a public service. It is not intended as legal advice and should not be relied upon.
SOURCE: Shareholders Foundation, Inc.
View source version on accesswire.com: