NEW YORK, Nov. 8, 2006 (PRIMEZONE) -- Roy Jacobs & Associates announces that a class action lawsuit has been filed behalf of investors of Ikanos Communications, Inc. ("Ikanos" or the "Company") (Nasdaq:IKAN) who purchased the common stock of Ikanos pursuant and/or traceable to the Company's Registration Statement and Prospectus for its initial public offering on September 22, 2005, (the "IPO") or its secondary public offering (the "Secondary Offering") on March 8, 2006. The class period is September 22, 2005 through October 4, 2006.
Remember, until a class is certified, you are not represented by counsel. For further information you may call toll free, 1-800-347-1236, or contact counsel by e-mail by writing to classattorney@pipeline.com.
The complaint charges Ikanos and certain of its officers, directors and underwriters with violations of the Securities Act of 1933. The Complaint alleges that the Registration Statements and Prospectuses issued in connection with the IPO and Secondary Offering were false. Specifically, the Complaint alleges, among other things, that the Registration Statements and Prospectuses included representations that the Company's business had grown due to successful deployments in Japan. In fact, according to the Complaint, the deployments in Japan had grown because Ikanos had shipped excessive product to Japanese customers in excess of those customers' needs and the Registration Statements and Prospectuses failed to disclose that the Company's future results would be adversely affected by this practice.
On October 4, 2006, Ikanos issued a press release announcing preliminary third quarter revenue results and stated that the revenue expectations were $4-6 million lower than expected, and the fourth quarter revenue results would be adversely affected. The stock collapsed to as low as $7.23 per share, before closing at $7.76 per share on volume of 9.5 million shares traded.
If you purchased Ikanos shares between September 22, 2005 and October 4, 2006, you may move the Court no later than Friday, January 5, 2007, to serve as a lead plaintiff for the Class. You do not have to sell your shares to be lead plaintiff.
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to this matter, please contact Roy L. Jacobs. Mr. Jacobs will personally speak with you at no cost or obligation.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.