Hortonworks investors may receive additional information about the case by clicking the link "Join this Class Action" above.
According to the complaint, Hortonworks focuses on the development, distribution, and support of the Hadoop open source project in the United States and internationally. It offers Hortonworks Data Platform, an enterprise-grade data management platform that purportedly enables its customers to capture, store, process, and analyze increasing amounts of existing and new data types without the need to replace their existing data center infrastructure. The Company also provides Hortonworks Sandbox, a personal, portable, and free to use Hadoop environment purportedly designed to offer the easiest way to get started with Enterprise Grade Hadoop and the Hortonworks Data Platform. Hortonworks also provides support subscription, and training and consulting services – from which it derives substantially all of its revenues.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, cash position, prospects, and internal controls. Specifically, in November 2015, Defendants: (i) misrepresented that Hortonworks had sufficient cash and cash equivalents to fund 12 months of working capital and capital expenditure needs; (ii) failed to disclose that Hortonworks in actuality lacked adequate cash to meet those working capital and capital expenditure requirements over that period of time; (iii) failed to disclose that, as a result, Defendants were contemplating a significant offering to fund its operations; and (iv) as a result of the foregoing, Defendants’ public statements were materially false and misleading at all relevant times.
On Friday, January 15, 2016, post-market, Hortonworks announced it had retained Goldman Sachs to raise $100 million in a secondary offering. Analysts expressed surprise, with one stating, “We believe it will be incumbent on HDP during its roadshow to show why this offering, announced in this way, at this time, should not be interpreted as evidence of serious difficulty.”
Following this news, Hortonworks’s stock fell $6.13, or nearly 37%, to close at $10.44 on January 19, 2016.
If you are a member of the class described above, you may no later than April 29, 2016 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 info@ktmc.com. 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.
CONTACT:
Kessler Topaz Meltzer & Check, LLP
James Maro, Esq. or Adrienne Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087 1-888-299-7706 (toll free) or 1-610-667-7706
Or by e-mail at info@ktmc.com