BERKELEY, Calif., Dec. 12, 2011 /PRNewswire/ -- Hagens Berman today reminds investors that only 15 days remain before the Dec. 27, 2011 lead plaintiff deadline in a securities class-action lawsuit against OmniVision (NASDAQ: OVTI).
Investors and others who purchased OmniVision stock between Aug. 27, 2010, and Oct. 13, 2011 (the "class period"), and have suffered losses exceeding $100,000 are encouraged to contact the firm. Hagens Berman partner Reed R. Kathrein, who manages the firm's Berkeley, Calif. office, is leading the investigation. He can be reached at (510) 725-3000 or via email at OVTI@hbsslaw.com.
Investors can also learn more about this investigation at www.hbsslaw.com/OVTI.
The deadline to move the court for lead plaintiff is Dec. 27, 2011.
OmniVision produces image sensors that are commonly used in digital cameras, including Apple iPhones.
The firm's investigation and the filed class-action center around claims that OmniVision executives learned the company had lost its exclusive contract with Apple (NASDAQ: AAPL) for the iPhone 4S, but failed to notify investors.
On Aug. 25, 2011, the company announced financial results below analyst expectations. Analysts theorized that OmniVision had lost its exclusive contract with Apple and would not be the sole provider of image sensors in the iPhone 4S. Following the release of OmniVision's financial results, the stock price dropped by $7.55 to $17.27, a loss of more than 30 percent.
On Nov. 7, 2011, OmniVision again announced it was revising guidance, taking the numbers for the next quarter down approximately an additional 20 percent. The company claimed these results were caused by "unexpected cutback in orders for certain key projects."
This follows the revelation that management sold over $12 million in OVTI stock at a time when it was experiencing production delays and the company was losing its exclusive contract with Apple to provide imaging sensors for the Apple iPhone.
"We will continue to investigate this matter to determine if OmniVision executives dumped stock because they knew about non-public financial results," said Mr. Kathrein. "The company is required to share information that will have a material impact on the company with investors."
Persons with knowledge that may help the investigation are encouraged to contact the firm. The Securities Exchange Commission (SEC) recently finalized new rules as part of its implementation of the whistleblower provisions in the Dodd-Frank Wall Street Reform Bill. The new rules protect whistleblowers from employer retaliation and allow the SEC to reward those who provide information leading to a successful enforcement with up to 30 percent of the recovery.
Seattle-based Hagens Berman Sobol Shapiro LLP is an investor-rights class-action law firm with offices in 10 cities. In addition to investors, the firm represents whistleblowers, workers and consumers in complex litigation. More about the law firm and its successes can be found at www.hbsslaw.com. The firm's securities law blog is at www.meaningfuldisclosure.com.
Media Contact: Mark Firmani, Firmani + Associates Inc., 206.443.9357 or firstname.lastname@example.org
SOURCE Hagens Berman