NEW YORK, Oct. 4, 2007 (PRIME NEWSWIRE) -- Roy Jacobs & Associates has filed a lawsuit in the United States District Court for the District of Columbia on behalf of a class (the "Class") consisting of all purchasers of Harman International Industries, Inc. ("Harman" or the "Company") (NYSE:HAR) securities between April 26, 2007 and September 24, 2007 (the "Class Period") arising out of the failure of the buyout, which led to the revelation of previously concealed adverse facts concerning Harman's business.
For further information you may call toll free, 1-800-347-1236, or contact counsel by e-mail by writing to rjacobs@jacobsclasslaw.com. You may also sign up by visiting our web site at www.jacobsclasslaw.com.
The Complaint charges Harman and several of its officers and directors with violating the Federal Securities Laws by concealing adverse information about the Company's financial condition, business prospects, and earnings expectations, which caused a premium bid for the Company to collapse, among claims by the Bidders that Harman breached the buyout agreement.
As set forth in the Complaint, on April 26, 2007, the Company announced that it had agreed to a buyout by Kohlberg Kravis Roberts & Co. L.P. and GS Capital Partners VI Fund, L.P., (the "Bidders"), where the shareholders were to be paid $120 cash per Harman share. However, Harman had misrepresented its earnings prospects, and understated its research and development expenses, leading the Bidders to terminate the deal. This news caused the Company's share price to fall from a closing price of $112.25 on September 20, 2007, to $85.00 on September 21, 2007, a drop of 24%. On September 24, 2007, the Company admitted that it would fail to meet its financial guidance for the quarter ended September 30, 2007, and revised downward its earnings estimates for FY 2008 due, inter alia, to increased research and development costs. This news caused the Company's share price to further decline to $80.31.
If you purchased Harman shares during the Class Period, April 26, 2007 through September 24, 2007, you may qualify to serve as Lead Plaintiff on behalf of the Class. All motions for appointment as Lead Plaintiff must be filed by November 30, 2007. If you wish to discuss this action or have any questions concerning this notice or your rights with respect to this matter, please contact Roy L. Jacobs. Mr. Jacobs will personally speak with you at no cost or obligation.
You may also join this action by visiting our website at www.jacobsclasslaw.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primenewswire.com/ca.