Welcome to the Aerohive Securities Litigation Website
This website has been established to provide general information related to the Aerohive Securities Litigation and the resulting Settlement Fund. The capitalized terms used on this website, and not defined herein, shall have the same meanings ascribed to them in the Stipulation of Settlement dated May 4, 2016, which can be found and downloaded by clicking on the Case Documents tab above.
On August 18, 2015, Plaintiffs filed their Consolidated Complaint for Violations of the Securities Act of 1933 (the "Securities Act"). Plaintiffs brought the action on behalf of all Persons who purchased Aerohive Networks, Inc. ("Aerohive" or the "Company") common stock pursuant or traceable to the Company’s Registration Statement and Prospectus (collectively, the “Registration Statement”) issued in connection with the Company’s March 27, 2014 IPO. The Registration Statement was declared effective on March 27, 2014. As a result, the Company and its insiders and underwriters sold more than 8.6 million shares of Aerohive’s common stock to the public at $10 per share (which included an over-allotment of shares granted to the underwriters), raising over $86 million in gross proceeds for the Company. Plaintiffs allege that the Aerohive Defendants and the Underwriter Defendants violated §11 of the Securities Act and that the Aerohive Defendants violated §15 of the Securities Act because the Registration Statement contained untrue statements of material fact and omitted other facts necessary to make the statements made therein not misleading.
Plaintiffs allege that the Registration Statement violated the Securities Act by misrepresenting and omitting material facts concerning, among other things, alleged technological deficiencies in the Company’s products, increasing competition, and employee turnover that was allegedly impacting sales.
During the Litigation, the Settling Parties engaged the services of Hunter R. Hughes, III to mediate the case. The Settling Parties participated in an in-person mediation session on March 17, 2016 with Mr. Hughes, at which time the parties agreed to settle the case for $5,750,000 with the mediator’s assistance.
The Court has not ruled as to whether Defendants are liable to Plaintiffs or to the Class. The Notice is not intended to be an expression of any opinion by the Court with respect to the truth of the allegations in this lawsuit or the merits of the claims or defenses asserted. The information contained in the Notice of Proposed Settlement of Class Action is solely to advise you of the pendency of the Litigation and proposed settlement thereof and your rights in connection with that settlement.
If you purchased the common stock of Aerohive pursuant or traceable to the Registration Statement issued in connection with the Company’s March 27, 2014 IPO through September 23, 2014, you are a Class Member, except those Persons and entities that are excluded, as described in the Notice of Proposed Settlement of Class Action.
The Court appointed the law firm of Robbins Geller Rudman & Dowd LLP to represent Class Members. These lawyers are called Lead Counsel. These lawyers will apply to the Court for payment of attorneys’ fees and expenses from the Settlement Fund; you will not be otherwise charged for their work. If you want to be represented by your own lawyer, you may hire one at your own expense.
Although the information in this website is intended to assist you, it does not replace the information contained in the Notice of Proposed Settlement of Class Action and Stipulation of Settlement, both of which can be found and downloaded by clicking on the Case Documents tab above. We recommend that you read the Notice and other relevant case documents carefully.
YOUR LEGAL RIGHTS AND OPTIONS IN THIS SETTLEMENT
|SUBMIT A CLAIM FORM
||In order to qualify for a payment, you must submit a Proof of Claim.
||If you want to keep the right to sue or continue to sue Defendants on your own about the legal issues in this case, then you must take steps to get out of the Class.
||If you are a Class Member, you may object to the terms of the settlement. Whether or not you object to the terms of the settlement, you may also object to the requested attorneys’ fees, costs, and expenses, the payment to Plaintiffs for their time and expenses, and/or the Plan of Allocation.
|GO TO A HEARING
||Any Class Member may appear at the Settlement Fairness Hearing provided, however, that no such person shall be heard unless his, her, or its objection is made in writing and is filed, together with proof of membership in the Class and with copies of all other papers and briefs to be submitted by him, her, or it to the Court at the Settlement Fairness Hearing, with the Court.
||If you do not submit a valid Proof of Claim with all of the required information, you will not receive a payment from the Net Settlement Fund; however, unless you expressly exclude yourself from the Class as described above, you will still be bound in all other respects by the settlement, the Judgment, and the releases contained in them.
|Submit a Claim Form:
||September 27, 2016
||September 9, 2016
|File an Objection:
||September 9, 2016
|Court Hearing on Fairness of Settlement:
||September 30, 2016, at 9:00 a.m.