Safirstein Metcalf LLP Announces that A Class Action Has Been Filed Against Ubiquiti Networks, Inc. - UBNT

NEW YORK, March 09, 2018 (GLOBE NEWSWIRE) -- Safirstein Metcalf LLP announces that a class action lawsuit has been filed in the United States District Court for the Southern District of New York against Ubiquiti Networks, Inc. ("Ubiquiti" or the "Company") (Nasdaq:UBNT) and certain of its officers, on behalf of shareholders who purchased or otherwise acquired Ubiquiti securities between May 9, 2013, and February 20, 2018, both dates inclusive.

If you purchased or acquired UBNT securities during the class period, and would like more information about the shareholder class action, please contact Safirstein Metcalf LLP at 1-800-221-0015, or email info@SafirsteinMetcalf.com

If you wish to serve as lead plaintiff, you must move the Court no later than April 23, 2018.   A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice or may choose to do nothing and remain an absent class member.

The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that: (1) the number of the Company's purported user community was drastically overstated; (2) Ubiquiti had exaggerated its publicly reported accounts receivable; and (3) as a result of the foregoing, Ubiquiti's publicly disseminated financial statements were materially false and misleading.

On September 18, 2017, Citron Research ("Citron") issued a report entitled "Citron Exposes Ubiquiti Networks," (the "Citron Report") in which Citron detailed a series of "alarming red flags," indicating that the Company had been deceiving investors and was engaged in "corporate fraud," including, among other things, that the Company had misrepresented the size of its purported "Ubiquiti Community," as well as its levels of accounts receivable, among other things.

On February 20, 2018, Ubiquiti announced that it had received a subpoena from the Securities and Exchange Commission "requesting documents and information relating to a range of topics including metrics relating to the Ubiquiti Community, accounting practices, financial information, auditors, international trade practices, and relationships with distributors and various other third parties."  Following the news of the SEC subpoenas, Ubiquiti's share price fell more than 25 percent, from $74.04 at the close of the prior trading day, to close at $55.28 on February 20, 2018.

About Safirstein Metcalf LLP

Safirstein Metcalf LLP focuses its practice on shareholder rights. The law firm also practices in the areas of antitrust and consumer protection.  All of the Firm’s legal endeavors are rooted in its core mission: provide investor and consumer protection.

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