SAN DIEGO, Feb. 08, 2016 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed in Massachusetts on behalf of certain investors who purchased shares of Imprivata Inc (NYSE:IMPR) over alleged Securities Laws Violations by Imprivata Inc (NYSE:IMPR).
Investors who purchased shares of Imprivata Inc (NYSE:IMPR) have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff claims that that between July 30, 2015 and November 2, 2015 defendants materially misled the investing public about demand for the Company's IT security offerings and its sales trends, thereby inflating the price of Imprivata common stock, by publicly issuing false and misleading statements and omitting to disclose material facts necessary to make defendants' statements about Imprivata Inc, its business and operations not misleading. According to the complaint, these material misstatements and omissions had the cause and effect of creating in the market an unrealistically positive assessment of Imprivata and its business, prospects and operations, thus causing Imprivata common stock to be overvalued and artificially inflated, and then, with the price of the common stock artificially inflated, certain Imprivata executives and insiders cashed in, selling more than $72 million worth of their personally held Imprivata stock at fraud-inflated prices.
On October 14, 2015, Imprivata Inc announced its preliminary third quarter 2015 financial results. The plaintiff claims that rather than the revenues of $31-$31.5 million and losses of $0.20 per share that Imprivata Inc had stated it was on track to achieve in July 2015, Imprivata reported that its third quarter 2015 sales would come in at or below $29.2 million and that its losses would exceed $0.22 per share. According to the complaint, Imprivata Inc also disclosed several negative sales trends that had been adversely affecting sales in third quarter 2015.
On November 2, 2015, Imprivata Inc disclosed its third quarter financial results along the same lines preliminarily announced on October 14, 2015. The complaint alleges that defendants disclosed additional details concerning the adverse sales trends Imprivata Inc had experienced during the third quarter 2015, announced reduced fiscal 2015 guidance and disclosed that the negative sales trends would continue to diminish sales into fiscal 2016. Shares of Imprivata Inc (NYSE:IMPR) declined to as low as $9.00 per share on November 3, 2015.
Those who purchased shares of Imprivata Inc (NYSE:IMPR) should contact the Shareholders Foundation.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.