Law Offices of Howard G. Smith Announces Class Action Lawsuit Against Ubiquiti Networks

Law Offices of Howard G. Smith announces that a class action lawsuit has been filed in the United States District Court for the Northern District of California on behalf of a class (the “Class”) consisting of all purchasers of the common stock of Ubiquiti Networks UBNT, between October 14, 2011 and August 9, 2012, inclusive (the “Class Period”), and/or all persons who acquired shares of Ubiquiti common stock pursuant or traceable to the Company's allegedly false and misleading Registration Statement and Prospectus issued in connection with its October 14, 2011 initial public offering. Ubiquiti, together with its wholly owned subsidiaries, offers a portfolio of wireless networking products and solutions. The Complaint alleges that the defendants made false and/or misleading statements and/or failed to disclose material adverse facts concerning the Company's business and operations, including: (i) the true magnitude of the risks the Company faced from counterfeit copies of its products including the popular and profitable AirMax product line; (ii) the widespread nature and extent of the counterfeit-product operations, and the impact those activities would have on the Company's future operating results; (iii) the increased risks to the Company's operations due to its unique business model, whereby it exclusively relied on distributors to sell its products to end customers; (iv) that the Company lacked the proper internal controls to prevent its product designs from being stolen and replicated; and (v) as a result of the above, the Company's financial statements were materially false and misleading at all relevant times.