NEW YORK, April 16, 2019 /CNW/ -- Pomerantz LLP is investigating claims on behalf of investors of Eventbrite, Inc. ("Eventbrite" or the "Company") (NYSE: EB). Such investors are advised to contact Robert S. Willoughby at [email protected] or 888-476-6529, ext. 9980.
The investigation concerns whether Eventbrite and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
In September 2017, Eventbrite acquired Ticketfly, LLC ("Ticketfly") from Pandora Media, Inc. for $201.1 million, purportedly to expand Eventbrite's solutions for music-related events. On September 20, 2018, the Company filed a prospectus on Form 424B4 with the U.S. Securities and Exchange Commission, which forms part of the registration statement issued in connection with the Company's initial public offering ("IPO"). In the IPO, Eventbrite sold 11.5 million shares of Class A common stock at a price of $23.00 per share, raising proceeds of approximately $246 million, net of underwriting discounts and commissions. The proceeds from the IPO were purportedly to be used to repay certain debts, including $30 million of indebtedness incurred to finance the Company's acquisition of Ticketfly, and for working capital and other general corporate purposes.
Then, on March 7, 2019, in connection with its full year 2018 results, the Company stated that integrating Ticketfly would be a headwind impacting the Company's future growth and revenue. On this news, Eventbrite's stock price fell $7.96 per share, or 24.55%, to close at $24.46 per share on March 8, 2019.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com
Robert S. Willoughby
SOURCE Pomerantz LLP