NEW YORK, June 14, 2017 /PRNewswire/ -- Kaplan Fox & Kilsheimer LLP
(www.kaplanfox.com) is investigating claims on behalf of investors
of Synchronoss Technologies, Inc. ("Synchronoss" or the "Company")
(NASDAQ: SNCR). Investors who purchased shares of Synchronoss
securities may be affected.
On April 27, 2017 before the
market opened, Synchronoss issued a press release announcing the
departures of Chief Executive Officer Ronald Hovsepian ("Hovsepian") and Chief
Financial Officer John Frederick
("Frederick") "to pursue other interests." Both Hovsepian and
Frederick had only served in their respective positions for a few
months - Hovsepian had served as CEO since the recent acquisition
of Intralinks Holdings, Inc. that closed in January 2017, and Frederick had served as CFO
since the announcement of his appointment on February 27, 2017.
Additionally, the April 27, 2017
press release disclosed that Synchronoss "expects total revenue for
the first quarter of 2017 to be $13 million
to $14 million less than the company's previously announced
guidance" and that "[o]perating margins are expected to be 8% to
10%, which are less than previously announced guidance."
Following this news, the price of Synchronoss' common stock
plunged by 46%, or $11.33 per share,
to close at $13.29 per share on
April 27, 2017.
Then, on June 14, 2017 after the
market closed, Synchronoss filed a Form 8-K with the SEC disclosing
that the Audit Committee of the Board of the Company has concluded
that the Company's previously issued financial statements for the
fiscal years ended December 31, 2016
and 2015, as well as the respective quarterly periods, should be
restated and should no longer be relied upon. Following this
news, the price of Synchronoss' common stock declined in midday
trading on June 14, 2017.
A class action has been filed in the United States District
Court for the District of New
Jersey against Synchronoss and certain Company executives,
including former CEO Hovsepian and former CFO Frederick, on behalf
of investors who purchased or otherwise acquired Synchronoss
securities between May 5, 2016 and
April 27, 2017, inclusive (the
"Class"), alleging violations of the Securities Exchange Act of
1934. Specifically, the action alleges that during the Class
Period defendants failed to disclose, among other things, that (1)
newly acquired Intralinks was underperforming, (2) the Company's
integration of other acquisitions was underperforming, (3) the
Company was facing serious hurdles integrating, and capitalizing
on, its newly acquired companies, and (4) the Company's guidance
was overstated.
If you are a member of the proposed Class, you may move the
court no later than June 30, 2017 to
serve as a lead plaintiff for the purported class. You need
not seek to become a lead plaintiff in order to share in any
possible recovery. If you would like to discuss the complaint
or our investigation, please contact us by emailing
pmayer@kaplanfox.com or by calling 800-290-1952.
This press release may be considered Attorney Advertising in
some jurisdictions under the applicable law and ethical rules.
Kaplan Fox & Kilsheimer LLP,
with offices in New York,
San Francisco, Los Angeles, Chicago and New
Jersey, has many years of experience in prosecuting investor
class actions. For more information about Kaplan Fox & Kilsheimer LLP, you may visit
our website at www.kaplanfox.com. If you have any questions about
this Notice, the action, your rights, or your interests, please
contact:
Jeffrey P. Campisi
KAPLAN FOX & KILSHEIMER LLP
850 Third Avenue, 14th Floor
New York, New York 10022
(800) 290-1952
(212) 687-1980
Fax: (212) 687-7714
E-mail: jcampisi@kaplanfox.com
Laurence D. King
KAPLAN FOX & KILSHEIMER LLP
350 Sansome Street, Suite 400
San Francisco, California
94104
(415) 772-4700
Fax: (415) 772-4707
E-mail: lking@kaplanfox.com
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SOURCE Kaplan Fox &
Kilsheimer LLP