SAN FRANCISCO, May 22, 2020 /PRNewswire/ — Hagens Berman urges investors in Forescout Technologies, Inc. (NASDAQ: FSCT) to submit their losses now.
Forescout Technologies, Inc. (FSCT) Investigation:
The investigation focuses on whether Forescout falsely touted the $1.9 billion sale of the Company, while concealing material adverse information about Forescout’s financial outlook from its buyer, Advent International.
On Feb. 6, 2020, the Company announced that it had agreed to be purchased by Advent for $1.9 billion, or $33.00 per share, representing a 18% premium over the prior day’s closing price.
The deal was subsequently approved by shareholders on Apr. 23, 2020.
But on Apr. 30, 2020, Spruce Point wrote to Advent, urging it to cancel its purchase of Forescout, noting Forescout may not have shared internal financial forecasts, including the Company’s first-quarter and full-year fiscal 2020 revenue guidance.
Then, on May 12, 2020, Spruce Point wrote again to Advent providing commentary on Forescout’s newly-released Q1 results, which affirmed a pessimistic revenue projection and disclosed a restructuring and credit revolver drawdown event. Spruce Point concluded that “We remain concerned that Forescout executives may have been aware of the emergence of dramatic, Company-altering headwinds which it never divulged to prospective acquirers, including you.“
Finally, on May 18, 2020, Forescout announced that Advent had terminated the acquisition. This news drove the price of Forescout shares sharply lower that day.
“We’re focused on investors’ losses and whether Forescout intentionally misled investors about matters concerning the acquisition by Advent,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you purchased shares of Forescout and suffered significant losses, click here to discuss your legal rights with Hagens Berman.
Persons with non-public information regarding Forescout Technologies should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email FSCT@hbsslaw.com.
About Hagens Berman
Hagens Berman is a national law firm with nine offices in eight cities around the country and eighty attorneys. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes is located at hbsslaw.com. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
Reed Kathrein, 844-916-0895
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SOURCE Hagens Berman Sobol Shapiro LLP