Settlement of Plymouth County Retirement System v. Model N, Inc., et al.
Master Case No. CIV530291
The parties have reached a settlement of this action, pending in the Superior Court of the State of California for the County of San Mateo. The settlement provides for the payment of $8,550,000.00 for the benefit of eligible Class Members. Plaintiffs Plymouth County Retirement System, James Small, and Dwight Bucher alleged Defendants violated §§11, 12(a)(2) and 15 of the Securities Act of 1933 (“Securities Act”) because the Registration Statement issued in connection with Model N, Inc.’s (“Model N”) March 20, 2013 initial public offering, contained untrue statements of material fact and omitted to state material facts both required by governing regulations and necessary to make the statements made not misleading. Specifically, Plaintiffs alleged the Registration Statement violated the Securities Act by failing to disclose that, at the time of the initial public offering, Model N was experiencing sales execution challenges – the inability to close and book sales – that were reasonably likely to (and in fact did) reverse the growing bookings and revenue trends reported in the Registration Statement and cause future bookings and revenues to decline.
The Class consists of all Persons who purchased or otherwise acquired the common stock of Model N pursuant or traceable to the Registration Statement and Prospectus issued in connection with Model N’s March 20, 2013 initial public offering. Excluded from the Class are: the Defendants and their respective successors and assigns; past and current officers and directors of Model N and the Underwriter Defendants; members of the immediate families of the Individual Defendants; the legal representatives, heirs, successors or assigns of the Individual Defendants; any entity in which any of the above excluded Persons have or had a majority ownership interest; and any Person who validly requests exclusion from the Class.
The settlement was preliminarily approved by the Court on December 7, 2015. The Court has scheduled a final approval hearing for April 4, 2016, at 2:00 p.m.
If you are a Class Member, to receive a payment from the settlement proceeds, you must submit a claim form postmarked no later than March 28, 2016. The claim form can be obtained by clicking on the Proof of Claim and Release link below.
Alternatively, you can submit your claim online. Online claims must be submitted by March 28, 2016. For more information, and to file your claim online, visit the Claims Administrator’s Model N Securities Litigation website www.modelnsecuritieslitigation.com.