The Shareholders Foundation announces that an investor, who currently holds NYSE:BLOX shares, filed a lawsuit against certain directors of Infoblox Inc over alleged breaches of fiduciary duties.
Investors who purchased shares of Infoblox Inc (NYSE:BLOX) prior to September 2013 and continue to hold any of those shares have certain options and should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 – 1554.
The plaintiff claims that certain top officials and board members of Infoblox Inc sold almost $40 million of their shares at prices inflated through allegedly false and misleading statements. The plaintiff claims that Infoblox artificially increased its revenue temporarily by using extreme discounting, while denying it was doing so.
Infoblox Inc currently faces a lawsuit filed over alleged securities laws violations. According to that complaint between September 6, 2013 and February 10, 2014 defendants allegedly falsely lauded Infoblox Inc as a financially successful company, repeatedly emphasizing the company’s strong revenues and proclaiming that the company was entering “fiscal 2014 with significant momentum and expect[ed]  to be another year of strong execution,” when, in fact, Infoblox Inc had secretly implemented enormous discounting in order to maintain market share, and was allegedly failing to close on big-ticket deals that had previously driven its revenue growth.
In February 2014, Infoblox Inc announced its preliminary fiscal second quarter 2014 results. Shares of Infoblox Inc (NYSE:BLOX) declined from $38.56 per share in January 2014 to $17.19 per share on February 11, 2014.
On May 29, 2014, Infoblox Inc reported its third quarter Fiscal 2014 results. Among other things Infoblox revealed a net loss of $7.4 million for the third quarter of fiscal 2014 and lowered its year-over-year revenue forecast. That same day, Infoblox Inc announced that Robert D. Thomas was stepping down as the Company’s president and chief executive officer. Shares of Infoblox Inc (NYSE: BLOX) dropped from $20.50 per share on May 29, 2014, to as low as $12.01 per share during May 30, 2014.
Those who purchased shares of Infoblox Inc (NYSE:BLOX) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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