CASES
Tekelec
Class Period: Feb 11, 2010 to Aug 5, 2010
Lead Plaintiff Deadline: Feb 11, 2011 + Deadline passed
Summary of Case:
A securities class action has been filed against Tekelec (TKLC) (the "Company") on behalf of all securities purchasers from February 11, 2010 through August 5, 2010, inclusive ("Class Period"), in the United States District Court for the Eastern District of North Carolina.
The complaint alleges that throughout the Class Period, defendants failed to disclose material adverse facts about Tekelec's true financial condition, business and prospects. Specifically, the complaint alleges that defendants failed to disclose: (i) that the Company was experiencing known but undisclosed difficulties in fulfilling orders in the emerging markets in general and in India in particular due to security and regulatory issues; (ii) that the Company's customers in the emerging markets were experiencing known but undisclosed credit issues causing them to delay purchases; (iii) that the Company was experiencing a sharp decline in new orders that was reasonably likely to have a material adverse effect on the Company's backlog and operating results; and (iv) that, as a result of the foregoing, defendants' representations concerning their "visibility" into the Company's earnings were materially false and misleading.
On August 5, 2010, Tekelec issued a press release announcing its operating results for the quarter ended June 30, 2010. In response to the announcement, the price of Tekelec common stock fell more than 9% on heavy trading volume as the remaining artificial inflation came out of the stock price.
If you purchased this company's shares during the Class Period and suffered a loss or for further information about the case, please review the links below.