NEW YORK–(BUSINESS WIRE)–$GTT #classaction–The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Eastern District of Virginia on behalf of those who acquired GTT Communications, Inc. (“GTT” or the “Company”) (NYSE: GTT) securities during the period from February 26, 2018 to July 1, 2019 (the “Class Period”). Investors have until September 30, 2019 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
The lawsuit alleges that, following its acquisition of Interoute Communications Holdings S.A. (“Interoute”), GTT failed to disclose that: (i) there were delays in migrating Interoute’s legacy systems and processes into GTT’s client management database system; (ii) Interoute had made a strategic shift to focus on providing cloud services that deviated from GTT’s core cloud networking business; and (iii) Interoute’s sales force was underperforming and ineffective at selling GTT’s core cloud networking services.
On May 8, 2019, the Company reported a larger-than-expected loss and sequential decline in revenue for first quarter 2019. GTT attributed the negative performance to integration issues with Interoute. On this news, the price of GTT shares fell $7.04 on May 8, 2019 and $3.34 on May 9, 2019, or 25.7% over two days, to close at $29.91 on May 9, 2019.
If you acquired GTT securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600, by email at [email protected], or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, and whistleblower litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website: www.kmllp.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.