Skip to Main Content
Wexler Boley & Elgersma LLP
  • Our Firm
    • Who We Serve
      • Shareholders
      • Whistleblowers
      • Consumers
      • Businesses
      • Government Entities
    • Our Professionals
    • Working with Wexler Boley & Elgersma LLP
    • Locations
    • News
    • Careers
    • Report Your Concern
    • Testimonials
  • Practice Areas
    • Antitrust Litigation
    • Business & Commercial Litigation
    • Securities & Corporate Governance
    • Healthcare Litigation
    • Consumer Protection
    • Whistle Blower False Claims Litigation
    • Government Representation
    • Employment Litigation
  • Cases
    • Antitrust Litigation Cases
    • Business & Commercial Litigation Cases
    • Consumer Protection Cases
    • Employment Litigation Cases
    • Government Representation Cases
    • Healthcare Litigation Cases
    • Mass Tort Litigation Cases
    • Securities & Corporate Governance Cases
    • Whistle Blower False Claims Cases
  • Investigations
    • Similac Toxic Infant Formula Lawsuit
    • Kid’s Castle Biometric Privacy Lawsuit
    • Contaminated Baby Food Lawsuit
    • Fatal Sportmix Pet Food Recall Class Action Lawsuit
    • Claire’s Data Breach Lawsuit
    • Insurance Denial for Mental Health and Substance Abuse Treatment
    • Perpetual Sales Litigation
    • Railroad Price-Fixing Lawsuit
    • Medicare Advantage Fraud Litigation
    • Biometric Fingerprinting Litigation
  • Blog
  • Contact Us
See all news
4.13.2012

Wexler Wallace Files Securities Case against Groupon

Wexler Wallace is local counsel in a class action lawsuit against Groupon, Inc. (NASDAQ: GRPN) on behalf of investors who purchased Groupon common stock between November 4, 2011 and March 30, 2012. The lawsuit alleges that Groupon, and certain of its officers and directors, and the underwriters of Groupon’s initial public offering, violated federal securities laws through false and misleading statements related to Groupon’s financial results and internal controls.

More specifically, the complaint alleges that defendants violated the Securities Act of 1933 and the Securities Exchange Act of 1934 by issuing a series of misrepresentations and omissions related to Groupon’s internal controls, financial results and business.

In November 2011, Groupon went public with an offering of 35 million shares priced at $20 per share, netting Groupon $658 million and its underwriters $42 million.  In a March 30, 2012, press release and its first annual report filed with the Securities and Exchange Commission, Groupon announced that it was revising its fourth quarter 2011 financial results, resulting in a $14.3 million reduction to its fourth quarter revenues.  Groupon also disclosed that its auditors found a material weakness in its internal controls, and that it could not assure the accuracy of its financial statements.  On April 2, 2012, the first trading day following Groupon’s announcement, the company’s stock price dropped by nearly 17% to $15.27, well below its $20 IPO price and the class period high of $26.19.

The lawsuit is pending in the United States District Court for the Northern District of Illinois. To view a copy of the complaint, click here.

Share

  • Facebook
  • Twitter
  • LinkedIn
Image

311 S. Wacker Drive,
Suite 5450
Chicago, IL 60606
P_312.346.2222
F_312.346.0022

  • Our Firm
  • Practice Areas
  • Cases
  • Investigations
  • Newsroom
  • Blog
  • Contact Us
  • Sitemap
  • Privacy Statement
  • Legal Disclaimer

2022 © Wexler Boley & Elgersma LLP