WILMINGTON, Del., Feb. 12, 2016 (GLOBE NEWSWIRE) -- Rigrodsky & Long, P.A.:
- Do you, or did you, own shares of Imprivata, Inc. (NYSE:IMPR)?
- Did you purchase your shares between July 30, 2015 and November 2, 2015, inclusive?
- Did you lose money in your investment?
Rigrodsky & Long, P.A. announces that a complaint has been filed in the United States District Court for the District of Massachusetts on behalf of all persons or entities that purchased the common stock of Imprivata, Inc. (“Imprivata” or the “Company”) (NYSE:IMPR) between July 30, 2015 and November 2, 2015, inclusive (the “Class Period”), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the “Complaint”).
If you purchased shares of Imprivata during the Class Period, or purchased shares prior to the Class Period and still hold Imprivata, and wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Timothy J. MacFall, Esquire or Peter Allocco of Rigrodsky & Long, P.A., 2 Righter Parkway, Suite 120, Wilmington, DE 19803 at (888) 969-4242; by e-mail to info@rl-legal.com; or at: http://rigrodskylong.com/investigations/imprivata-inc-impr.
The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements, and omitted materially adverse facts, about the Company’s business, operations and prospects. As a result of defendants’ alleged false and misleading statements, the Company’s stock traded at artificially inflated prices during the Class Period.
According to the Complaint, on October 14, 2015, after the close of trading, Imprivata issued a release preliminarily announcing its 3Q15 financial results for the interim period started on July 1, 2015 and ended September 30, 2015. Rather than the revenues in the range of $31-$31.5 million that the Company had stated it was on track to achieve in the quarter on July 29, 2015, Imprivata reported that its 3Q15 sales would come in at or below $29.2 million. The 3Q15 loss per share would also come in significantly larger than the ($0.20) the Company had led the market to expect, and would instead come in at between ($0.22) to ($0.23) per share. Based on these disclosures, certain stock analysts took the position that rather than becoming profitable in the second half of 2016, as the Company had stated it was on track to achieve on July 29, 2015, Imprivata was now on track to report losses of ($0.25) per share in 2016. Imprivata blamed some of the shortfall on delays in closing deals, now claiming those deals might close in the 4Q15.
On this news, the market price of Imprivata common stock declined precipitously, falling from its close of $17.31 on October 14, 2015 to close down at $12 on October 15, 2015, on unusually high trading volume of almost 4.5 million shares trading, more than 32 times the average daily volume over the preceding ten trading days.
Then, on November 2, 2015, the Company issued a press release disclosing 3Q15 financial results along the same lines preliminarily announced on October 14, 2015. The complaint alleges that defendants disclosed additional detail concerning the adverse sales trends the Company had experienced during the 3Q15, announced reduced fiscal 2015 guidance and disclosed that the negative sales trends would continue to diminish sales into fiscal 2016.
On this news, shares of Imprivata dropped again, closing at $9.42 per share on November 3, 2015, on heavy trading volume.
If you wish to serve as lead plaintiff, you must move the Court no later than April 4, 2016. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Any member of the proposed 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.
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