Glancy Binkow & Goldberg LLP Announces Investigation of Groupon, Inc.
Glancy Binkow & Goldberg LLP announces that it is investigating
potential claims on behalf of purchasers of the common stock of Groupon,
Inc. (“Groupon” or the “Company”) (NASDAQ:GRPN) concerning possible
violations of federal securities laws. The investigation focuses on
allegations that certain statements issued by Groupon between May 14,
2012 and November 8, 2012 were false and misleading concerning the
Company’s business and financial prospects.
Groupon operates as a local commerce marketplace that connects merchants
to consumers by offering goods and services at a discount in North
America and internationally. The investigation is related to allegations
that Groupon misrepresented or failed to disclose that: (1) an
increasing share of the Company’s revenue growth was being derived from
its non-core, lower-margin Groupon Goods business; (2) the Company’s
business growth was not as robust as represented; and (3) the Company’s
revenue mix was shifting in a manner which would likely lead to lower
margins.
On November 8, 2012 Groupon announced disappointing third-quarter 2012
revenue results. That same day, the Company hosted a conference call for
analysts and investors, and during the call acknowledged that the
lower-margin Groupon Goods business would be a more significant part of
its revenues. As a result of this news, Groupon stock dropped $1.16 per
share, or nearly 30%, to close at $2.76 per share on November 9, 2012 on
heavy trading volume.
If you purchased Groupon common stock between May 14, 2012 and November
8, 2012, if you have information or would like to learn more about these
claims, or if you wish to discuss these matters or have any questions
concerning this announcement or your rights or interests with respect to
these matters, please contact Michael Goldberg, Esquire, of Glancy
Binkow & Goldberg LLP, 1925 Century Park East, Suite 2100, Los Angeles,
California 90067, by telephone at (310) 201-9150, Toll Free at (888)
773-9224, by e-mail to shareholders@glancylaw.com,
or visit our website at http://www.glancylaw.com.
This press release may be considered Attorney Advertising in some
jurisdictions under the applicable law and ethical rules.
