NEW YORK, Nov. 05, 2018 (GLOBE NEWSWIRE) -- Pomerantz LLP announces that a class action lawsuit has been filed
against Chegg, Inc. (“Chegg” or the “Company”) (NYSE: CHGG) and certain of its officers. The class action, filed in
United States District Court, Northern District of California, and indexed under 18-cv-06714, is on behalf of a class consisting of
all persons and entities, other than Defendants and their affiliates, who purchased or otherwise, acquired Chegg securities between
July 30, 2018 through September 25, 2018, both dates inclusive (the “Class Period”), seeking to recover damages caused by
Defendants’ violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities
Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder, against the Company and certain of its top
officials.
If you are a shareholder who purchased Chegg securities between July 30, 2018, and September 25, 2018, both
dates inclusive, you have until November 26, 2018, to ask the Court to appoint you as Lead Plaintiff for the class. A copy of
the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at rswilloughby@pomlaw.com or 888.476.6529 (or 888.4-POMLAW), toll-free, Ext. 9980. Those who
inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
[Click here to join this class action]
Chegg is a direct-to-student learning platform that provides educational materials and services to high school
and college students.
Throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s
business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to
disclose that: (i) that Chegg did not maintain sufficient data security measures; (ii) that the Company maintained insufficient
internal controls and procedures to data breaches of its systems; (iii) consequently, the Company would become subject to increased
expenses and litigation risks; and (iv) as a result, the Company’s public statements were materially false and misleading at all
relevant times.
On September 25, 2018, the Company reported that an unauthorized party had gained access on or around April 29,
2018, to approximately 40 million users’ data, including username, email address, shipping address, and hashed Chegg password.
On this news, the Company’s share price fell $3.91, or approximately 12%, to close at $28.42 per share on
September 26, 2018, on unusually heavy trading volume.
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
CONTACT:
Robert S. Willoughby
Pomerantz LLP
rswilloughby@pomlaw.com
888-476-6529 ext. 9980
