SAN DIEGO & SAN JOSE, Calif.--(BUSINESS WIRE)--Shareholder rights law firm Robbins Arroyo LLP is investigating whether certain officers and directors of Extreme Networks, Inc. (NasdaqGS: EXTR) breached their fiduciary duties to shareholders. Extreme Networks provides software-driven networking solutions for enterprise customers worldwide.
Investors filed a class action complaint against Extreme Networks for alleged violations of the Securities Exchange Act of 1934 between November 4, 2013 and April 9, 2015. The complaint alleges that Extreme Networks misrepresented the success of the company's post-acquisition integration with its former competitor, Enterasys Networks, Inc. by assuring investors that there would be no disruption in customers' ability to grow and operate their networks. However, the integration was a failure, resulting in client loss, client dissatisfaction, and high executive turnover. On April 9, 2015, Extreme Networks announced that it would severely miss guidance for non-GAAP revenue and earnings per share for its third fiscal quarter of 2015. On this news, Extreme Networks' stock fell approximately 23% to close at $2.50 per share on April 20, 2015. On March 21, 2018, the Honorable Beth Labson Freeman of the U.S. District Court for the Northern District of California, San Jose Division denied in part Extreme Networks' motion to dismiss, paving the way for litigation to proceed.
View this information on the law firm's Shareholder Rights Blog:
Extreme Networks Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leonid Kandinov at (800) 350-6003, LKandinov@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
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