LOS ANGELES--(BUSINESS WIRE)--Tostrud Law Group, P.C. announces the filing of a class action lawsuit on behalf of investors who acquired Global Eagle Entertainment Inc. (“Global Eagle” or the “Company”) (NASDAQ: ENT) securities between November 9, 2016 and February 20, 2017, inclusive (the “Class Period”). Global Eagle investors have until April 24, 2017 to file a lead plaintiff motion. Injured investors are encouraged to contact Jon Tostrud, Esq. to discuss their legal rights.
On February 21, 2017, Global Eagle announced that Dave Davis, the Company’s CEO, and Tom Severson, the Company’s CFO, had both resigned effective immediately. The Company further disclosed that it would be unable to timely file its 2016 annual report, and that it would need to withdraw its guidance for 2016 financial performance.
On this news, Global Eagle fell over 29% per share during intraday trading on February 21, 2017.
The Complaint filed in this class action alleges that throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Global Eagle's remediation plans to address the material weaknesses in its internal controls over financial reporting were incomplete; and (2) consequently, Defendants' statements about the Company's business, operations and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
Additionally, on March 17, 2017 Global Eagle disclosed that it expects to report additional “material weakness in internal controls over financial reporting”. On this news, shares of Global Eagle have fallen as much as 8% during intraday trading on March 17, 2017.
Global Eagle investors have until April 24, 2017 to move the Court to appoint you as lead plaintiff if you meet certain legal requirements. If you have information or would like to learn more about these claims, or if you wish to discuss these matters or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Jon Tostrud, Esquire, of Tostrud Law Group, P.C., 1925 Century Park East, Suite 2100, Los Angeles, California 90067, at (310) 278-2600 or by e-mail at firstname.lastname@example.org.
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