- Pembroke Pines Firefighters & Police Officers Pension Fund et al v. Adobe, Inc., et al.
- Class Period:July 23, 2021 - September 15, 2022
- Date Filed:October 20, 2023
- Jurisdiction:U.S. District Court, Southern District of New York
- Docket Number: 1:23-cv-09260
- Lead Plaintiff Deadline: December 19, 2023
Seek Plaintiff 15
A class action lawsuit, captioned Pembroke Pines Firefighters & Police Officers Pension Fund et al v. Adobe, Inc., et al., No. 1:23cv09260 (S.D.N.Y.), has been filed against Adobe Inc. (NASDAQ: ADBE) and certain of its top current and former executive officers alleging that they violated the federal securities laws. The lawsuit seeks to represent purchasers or acquirers of Adobe common stock between July 23, 2021, and September 15, 2022, inclusive (the “Class Period”).
Adobe is a software company that offers tools on a subscription basis for, among other things, sharing documents, editing pictures, and designing web pages.
The Adobe lawsuit alleges that defendants repeatedly downplayed the competitive pressure the Company was experiencing from its competitors, including companies like Figma, which provides a web-based tool for designing user interfaces. Figma had experienced rapid revenue and market capitalization growth just prior to the beginning of the Class Period, and Defendants were repeatedly questioned about whether Figma would pose a serious threat to Adobe’s financial success. As alleged in the Adobe lawsuit, Defendants repeatedly misled investors to believe that Figma did not pose a serious threat and could actually be beneficial to Adobe as it might attract more users who would begin with Figma’s products and graduate to Adobe’s.
The Adobe lawsuit alleges that on September 15, 2022, Adobe shocked investors and the market when it announced that it had agreed to acquire Figma at a price of $20 billion – double Figma’s valuation and a multiple of 50x its revenue. Investors learned for the first time that they had been misled and that contrary to Defendants’ statements, Figma did pose a major threat to Adobe’s financial success. In fact, the threat was so serious that Adobe agreed to an extremely overpriced acquisition of Figma in order to stifle any competition. News that Adobe would acquire Figma sent the price of Adobe’s stock down by 17%, wiping out billions of dollars of investor value in a single trading day.
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If you purchased Adobe common stock during the Class Period and suffered substantial losses, and you wish to serve as lead plaintiff in this lawsuit, we encourage you to submit your information to DiCello Levitt LLP via the form on this page. You can also contact DiCello Levitt partner Brian O’Mara by calling (888) 287-9005 or at email@example.com.
The deadline to apply to the Court to serve as a lead plaintiff in the Adobe lawsuit is December 19, 2023.