San Diego, CA -- (SBWIRE) -- 04/17/2012 -- An additional investor in NASDAQ:PACB shares filed a second lawsuit against Pacific Biosciences of California over alleged violations of federal securities laws in connection with the October 2010 initial public offering.
Investors who purchased shares of Pacific Biosciences of California (NASDAQ: PACB) on October 27, 2010 or close after the initial public offering, have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
According to the complaint filed the plaintiff alleges that Pacific Biosciences of California, certain of its officers and directors and certain underwriters violated Federal Securities Laws in connection with its October 27, 2010 IPO by overstating the prospects of Pacific Biosciences of California.
On October 26, 2010 Pacific Biosciences of California filed its prospectus for the initial public offering. Between November 2010 and April 2011 Pacific Biosciences of California issued a number of financial statements.
However, then on August 4, 2011, Pacific Biosciences of California announced its second quarter 2011 financials.
While Pacific Biosciences’ sales revenues, net income and EPS beat analyst expectations, the market was shocked to learn that Pacific Biosciences of California had received only seven new orders for its RS system during the quarter, when the consensus in the market was that at least 15 new orders could be had, so the lawsuit.
The next day an underwriter issued a report cutting its rating on Pacific Biosciences of California from overweight to neutral.
On August 5, 2011, NASAQ PACB fell more than 34% from its close of $9.90 on August 4th to $6.50 on August 5th.
Then on September 20, 2011, Pacific Biosciences of California, Inc. announced that it implemented a reduction in its workforce of approximately 130 employees, or approximately 28% of its total workforce.
Pacific Biosciences of California said it took the action in consideration of uncertainties associated with the economic environment and to position the Company for long-term success.
NASDAQ PACB stocks fell 2%5 from $5.56 on September 20th, to $4.25 on September 21st.
In November 2011, the first investor filed a lawsuit alleging also securities laws violations by Pacific Biosciences of California.
Within slightly over one year since the IPO shares of Pacific Biosciences of California (NASDAQ: PACB) fell from almost $17 on October 28, 2010 to as low as $2.28 on December 19, 2011, a decline of more than 80%. Since the low in December 2011NASDAQ: PACB shares recovered only slightly over the past few months and closed on April 16, 2012 at $2.82 per share.
Those who purchased shares of Pacific Biosciences of California (NASDAQ: PACB) still have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego