New York, New York--(Newsfile Corp. - November 2, 2019) - Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Sonim Technologies, Inc. (NASDAQ: SONM) ("Sonim" or the "Company") of the December 6, 2019 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
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If you invested in Sonim stock or options pursuant and/or traceable to the Company's May 13, 2019 initial public offering ("IPO") and would like to discuss your legal rights, click here: www.faruqilaw.com/SONM. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to firstname.lastname@example.org.
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Attn: Richard Gonnello, Esq.
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The lawsuit has been filed in the U.S. District Court for the Northern District of California on behalf of all those who purchased Sonim common stock pursuant and/or traceable to the Company's May 13, 2019 IPO. The case, Malhotra v. Sonim Technologies, Inc. et al., No. 19-cv-06416 was filed on October 7, 2019, and has been assigned to Judge Maxine M. Chesney.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to disclose: (1) that the Company's XP8 was experiencing material software challenges; (2) that these software issues adversely affected how the device's Qualcomm chipset, which supported Band 14 access, connected to AT&T's carrier network configuration; (3) that the Company's XP5 and XP3 devices were experiencing material software defects that adversely affected their optimization with certain accessories; (4) that, as a result, the Company was reasonably likely to delay the launch of new products; (5) that, as a result of the foregoing, the Company's financial results would be materially and adversely impacted; and (6) 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.
On September 10, 2019, Sonim stated that it expected fiscal 2019 net revenues to be flat or slightly below 2018 net revenues of $135.7 million, citing "significant delays" in the launch of new products as well as software issues related to these new introductions. Moreover, the Company disclosed that James Walker "will cease serving as the Company's Chief Financial Officer."
On this news, Sonim's stock price fell from $7.06 per share on September 9, 2019 to $3.76 per share on September 10, 2019-a $3.30 or 46.74% drop.
Since Sonim's IPO, the Company's share price has declined from its May 2019 IPO price of $11.00 by approximately 70%.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Sonim's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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