LEAD PLAINTIFF DEADLINE IS NOVEMBER 18, 2019
NEW YORK, Oct. 22, 2019 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a federal securities class action lawsuit has been filed in the United States District Court for the Northern District of California on behalf of persons and entities that purchased or otherwise acquired Slack Technologies, Inc. (NYSE: WORK) (“Slack” or the “Company”) Class A common stock pursuant and/or traceable to the Company’s registration statement and prospectus (collectively, the “Registration Statement”) on or around June 20, 2019 (the “Offering”).
Investors who purchased shares of Slack Technologies, Inc. are urged to contact the firm immediately at firstname.lastname@example.org or (800) 575-0735 or (212) 545-4774. You may obtain additional information concerning the action on our website, www.whafh.com.
If you have incurred losses in the shares of Slack Technologies, Inc., you may, no later than November 18, 2019, request that the Court appoint you lead plaintiff of the proposed class. Please contact Wolf Haldenstein to learn more about your rights as an investor in the shares of Slack Technologies, Inc.
The filed complaint alleges that the Registration Statement was false and misleading and omitted to state material adverse facts. Specifically, Defendants failed to disclose to investors:
- that the Company’s Slack Platform was susceptible to recurring service-level disruptions;
- that such disruptions were increasingly likely to occur as the Company scaled its services to a larger user base;
- that the Company provides credits even if a customer was not specifically affected by service-level disruptions;
- that, as a result, any service-level disruptions would have a material adverse impact on the Company’s financial results; and
- that, 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.
In June 2019, Slack went public through the Offering of its Class A common stock with a reference price of $26.00 per share.
On September 4, 2019, Slack reported its second-quarter fiscal 2019 results and issued guidance for the third quarter, expecting a wider loss than analysts predicted. The Company also stated that revenue “was negatively impacted by $8.2 million of credits related to service level disruption in the quarter.”
On this news, the Company’s share price fell $3.69, or nearly 12%, over two consecutive trading sessions to close at $27.38 per share on September 6, 2019.
As of the date of this release, the Company’s stock was trading as low as $21.43 per share, 17.5% below the $26.00 per share reference price for the Offering.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735, via e-mail at email@example.com, or visit our website at www.whafh.com.
Wolf Haldenstein Adler Freeman & Herz LLP
Kevin Cooper, Esq.
Gregory Stone, Director of Case and Financial Analysis
Email: firstname.lastname@example.org, email@example.com or firstname.lastname@example.org
Tel: (800) 575-0735 or (212) 545-4774
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