Kuznicki Law PLLC notifies investors that a class action has commenced in the United States District Court for the Western District of Texas on behalf of shareholders of SolarWinds Corporation who purchased shares between February 24, 2020 and December 15, 2020.
SolarWinds and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On December 13, 2020, Reuters reported that hackers purportedly working for the Russian government had exploited the Company’s monitoring software to access email traffic at the U.S. Treasury and Commerce departments. On December 14, 2020, the Company disclosed that it had “been made aware of a cyberattack that inserted a vulnerability within its Orion monitoring products” and that “the vulnerability was inserted within the Orion products and existed in updates released between March and June 2020” and that it was cooperating with federal intelligence and law enforcement agencies. On this news, the Company’s shares fell $3.93 per share, or 17%, to close at $19.62 per share on December 14, 2020
On December 15, 2020, Reuters reported that security research sources revealed that the Company had been made aware of the vulnerabilities the prior year and that even after being aware that their software had been compromised, the malicious updates were still available for download. On this news, the Company’s shares fell $1.56 per share or 8% to close at $18.06 per share on December 15, 2020.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until March 5, 2021 to request that the court appoint them lead plaintiff.