Press release from Business Wire
Lieff Cabraser Heimann & Bernstein, LLP Announces Class Action Lawsuits Against Groupon, Inc.
Friday, April 06, 2012
Lieff Cabraser Heimann & Bernstein, LLP Announces Class Action Lawsuits Against Groupon, Inc.09:30 EDT Friday, April 06, 2012 SAN FRANCISCO (Business Wire) -- The law firm of Lieff Cabraser Heimann & Bernstein, LLP announces that class action lawsuits have been brought on behalf of all persons who purchased or otherwise acquired the common stock of Groupon, Inc. (“Groupon” or the “Company”) (NASDAQ: GRPN) between November 4, 2011 and March 30, 2012, inclusive (the “Class Period”), and/or all persons who purchased shares of Groupon common stock pursuant and/or traceable to the Company's Registration Statement and Prospectus issued in connection with its initial public offering (“IPO”) on November 4, 2011. If you purchased Groupon common stock during the Class Period and/or pursuant to the IPO, you may move the Court for appointment as lead plaintiff by no later than June 4, 2012. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the action will not be affected by your decision of whether to seek appointment as lead plaintiff. You may retain Lieff Cabraser, or other attorneys, as your counsel in the action. Groupon shareholders who wish to learn more about the action and how to seek appointment as lead plaintiff should click here or contact Sharon Lee of Lieff Cabraser toll free at (800) 541-7358. Background on the Groupon Securities Class Litigation The action is brought against Groupon, certain of its officers and directors, and the underwriters of the IPO for violations of the federal securities laws. The complaint alleges that during the Class Period, Groupon issued materially false and misleading statements regarding its financial results and its internal financial controls. On March 30, 2012, Groupon disclosed a revision in its fourth quarter and full year 2011 financial results it had reported just a month earlier. The revision resulted in a reduction in fourth quarter revenues by $14.3 million, an increase in operating expenses that reduced operating income by $30 million, net income by $22.6 million, and earnings per share by $0.04. Groupon explained that the revision related to a shift in deal mix and higher profit point offers in the fourth quarter, which resulted in higher rate of customer refunds. In addition, on the same day, Groupon disclosed a “material weakness in its internal controls.” On this news, the price of Groupon stock fell $3.10 per share, or approximately 16.9 percent, to close at $15.28 per share on the next trading day, April 2, 2012, on extremely high trading volume. About Lieff Cabraser Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility. Since 2003, the National Law Journal has selected Lieff Cabraser as one of the top plaintiffs' law firms in the nation. In compiling the list, the National Law Journal examined recent verdicts and settlements in addition to overall track records. Lieff Cabraser is one of only two plaintiffs' law firms in the United States to receive this honor for the last nine consecutive years. For more information about Lieff Cabraser and the firm's representation of investors, please visit http://www.lieffcabraser.com. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules. Source/Contact for Media Inquiries Only:Sharon M. LeeLieff Cabraser Heimann & Bernstein, LLPTelephone: (800) 541-7358