RADNOR, Pa.--(BUSINESS WIRE)--The law firm of Kessler Topaz Meltzer & Check, LLP reminds Eventbrite, Inc. (NYSE: EB) (“Eventbrite”) investors that a securities fraud class action lawsuit has been filed on behalf of those who purchased or otherwise acquired Eventbrite securities: a) pursuant and/or traceable to Eventbrite’s registration statement and prospectus (collectively, the “Registration Statement”) issued in connection with Eventbrite’s September 2018 initial public offering (“IPO”); and/or b) between September 20, 2018 and March 7, 2019, inclusive (the “Class Period”).
REMINDER: Investors who purchased Eventbrite securities during the Class Period may, no later than June 14, 2019, seek to be appointed as a lead plaintiff representative of the class. For additional information or to learn how to participate in this litigation please visit www.ktmc.com/eventbrite-eb-securities-class-action.
According to the complaint, Eventbrite provides a platform to enable creators to plan, promote, and produce live events. In September 2017, Eventbrite acquired Ticketfly, LLC (“Ticketfly”) from Pandora Media, Inc. for $201.1 million purportedly to expand Eventbrite’s solutions for music-related events. On September 20, 2018, Eventbrite filed its prospectus on Form 424B4 with the SEC, which forms part of the Registration Statement. In the IPO, Eventbrite sold 11.5 million shares of Class A common stock at a price of $23.00 per share.
On March 7, 2019, post-market, Eventbrite issued a letter to shareholders that announced its fourth quarter 2018 financial results and provided 2019 guidance. Therein, Eventbrite indicated that its growth rate would be negatively impacted while it integrated Ticketfly. Eventbrite also stated that migration headwinds would offset “continued growth self sign-on and international for the first quarter of 2019.” Following this news, Eventbrite’s share price fell $7.96 per share, or over 24%, to close at $24.46 per share on March 8, 2019. The complaint alleges that the Registration Statement was false and misleading and omitted to state material adverse facts.
The complaint further alleges that the defendants failed to disclose to investors that: (1) Eventbrite’s migration of customers from Ticketfly to Eventbrite was progressing slower than expected; (2) as a result, the Ticketfly integration would take longer than expected; (3) as a result, Eventbrite’s revenue and growth would be negatively impacted; and (4) as a result of the foregoing, the defendants’ positive statements about Eventbrite’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
Investors who wish to discuss this securities fraud class action lawsuit and their legal options are encouraged to contact Kessler Topaz Meltzer & Check, LLP (James Maro, Jr., Esq. or Adrienne Bell, Esq.) at (844) 887-9500 (toll free) or at firstname.lastname@example.org.
Eventbrite investors may, no later than June 14, 2019, seek to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, or other counsel, or may choose to do nothing and remain an absent class member. A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. In order to be appointed as a 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 affected by the decision of whether or not to serve as a lead plaintiff.
Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country involving securities fraud, breaches of fiduciary duties and other violations of state and federal law. Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). The complaint in this action was not filed by Kessler Topaz Meltzer & Check. For more information about Kessler Topaz Meltzer & Check, please visit www.ktmc.com.