Snap, Inc. investors may receive additional information about the case by clicking the link "Join this Class Action" above.
Snap provides technology and social media services, and is the parent company of the popular Snapchat mobile application. The company also develops mobile camera application products and services that allow users to send and receive photos, drawings, text, and videos.
Snap completed its IPO on or around March 2, 2017, selling 230 million shares of stock to investors at $17.00 per share for gross proceeds of $3.91 billion.
On May 10, 2017, Snap issued its first quarterly report as a public company, disclosing disappointing user growth at the Company's Snapchat messaging platform. For the quarter, Snap reported 166 million daily users, only 8 million more than in the previous period and only 44 million more than the same period in the prior year, Snapchat's slowest year-to-year growth rate in at least two years. Following this news, shares of Snap fell $4.93, or 21.45%, to close on May 11, 2017at $18.05.
On May 16, 2017, Bloomberg reported that a former Snap employee filed a lawsuit against Snap “claim[ing] he was fired after three weeks on the job for raising questions about allegedly false growth metrics [and] seeking whistleblower protection against retaliation by [the] company.”
The complaint alleges that throughout the Class Period, the defendants made materially false and misleading statements regarding the Company's business, operational and compliance policies. Specifically, defendants made false and/or misleading statements and/or failed to disclose that: (i) Snap's reported user growth was materially false and misleading; and (ii) as a result, Snap's public statements were materially false and misleading at all relevant times.
If you are a member of the class described above you may, no later than July 17, 2017, move the Court to serve as lead plaintiff of the class, if you so choose.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of their choice, or may choose to do nothing and remain an inactive class member.
Kessler Topaz Meltzer & Check, LLP has not filed a complaint in this matter. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at firstname.lastname@example.org. For more information about Kessler Topaz Meltzer & Check, LLP, please visit our website at http://www.ktmc.com. If you would like additional information about the suit, please fill out the attached form as promptly as possible and return it by fax to 610-667-7056, or by mail in the enclosed envelope.
Kessler Topaz Meltzer & Check, LLP
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