NEW YORK, Aug. 23, 2013 (GLOBE NEWSWIRE) -- On August 22, 2013, Scott+Scott, Attorneys at Law, LLP filed a class action lawsuit in the United States District Court for the Northern District of California on behalf of a class (the "Class") consisting of all persons or entities who purchased the securities of Velti plc ("Velti" or the "Company") (Nasdaq: VELT ) between January 27, 2011 and August 20, 2013, inclusive (the "Class Period").
Investors who purchased Velti securities during the Class Period and wish to serve as a lead plaintiff in the class action must move the Court no later than October 21, 2013. Members of the investor class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain absent class members in the lawsuit. If you wish to view the class action complaint, discuss the Velti lawsuit, or have questions concerning this notice or your rights, please contact Michael Burnett of Scott+Scott (mburnett@scott-scott.com, (800) 404-7770, (860) 537-5537) or visit the Scott+Scott website for more information: http://www.scott-scott.com .
There is no cost or fee to you.
Velti engages in the provision of mobile marketing and advertising technology and solutions for brands, advertising agencies, mobile operators, and media companies primarily in Europe, the Americas, Asia, and Africa.
The Complaint charges Velti and certain of the Company's executive officers with violations of the federal securities laws, alleging that, throughout the Class Period, the defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about Velti's reported financial results to investors. Specifically, the Complaint alleges that the defendants made false and/or misleading statements and/or failed to disclose that: (1) the Company was having difficulty collecting certain receivables; (2) certain of the Company's receivables were uncollectible; (3) as a result, the Company's revenues and receivables were overstated during the Class Period; (4) the Company lacked adequate internal and financial controls; and (5), as a result of the foregoing, the Company's statements and reported financial results were materially false and misleading at all relevant times.
On August 20, 2013, the Company reported its 2013 fiscal second quarter financial results and disclosed that the Company had made the decision to write-down approximately $111 million to its trade receivables and accrued contract receivables relating to its enterprise business. Moreover, the Company announced a "major restructuring" of its business. On this news, shares of Velti declined $0.66 per share, more than 66%, to close on August 21, 2013, at $0.34 per share, on heavy trading volume.
Scott+Scott has significant experience in prosecuting major securities, antitrust, and employee retirement plan actions throughout the United States. The firm represents pension funds, foundations, individuals, and other entities worldwide.
Michael Burnett Scott+Scott, Attorneys at Law, LLP (800) 404-7770 (860) 537-5537
