Adobe, Inc.
The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Southern District of New York on behalf of those who acquired Adobe, Inc. (“Adobe” or the “Company”) (NASDAQ: ADBE) securities during the period from July 23, 2021 through September 15, 2022, inclusive (the “Class Period”). Investors have until December 19, 2023 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
Adobe develops, markets, and supports computer software products and technologies, including a line of application software products, type products, and content for creating, distributing, and managing information.
On September 15, 2022, Adobe announced that it had entered into an agreement to acquire Figma, Inc. (“Figma”) for $20 billion in cash and stock. Analysts and the market reported negatively on the acquisition, stating generally that the acquisition was an attempt by Adobe to strategically remove Figma as competition in the market. For example, Evercore ISI reported that Adobe was “losing some momentum to Figma and it was better to buy them out and combine forces” than to allow Figma “to create a bigger beachhead in the enterprise.” Separately, Credit Suisse reported that the deal was priced so high, it represented the highest revenue multiple ever paid for a scaled software-as-a-service company. On this news, the price of Adobe shares declined by $62.39 per share, or approximately 16.8%, from $371.52 per share to close at $309.13 on September 15, 2022.
The lawsuit alleges that, throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to that: (i) Figma was growing its market share and was becoming a leader in user experience design; (ii) Figma was in direct competition with Adobe on user experience design; (iii) Adobe’s product “Express” was not an effective counter to Figma’s growing market share in bringing new customers to Adobe’s paid offerings; (iv) Adobe’s other offerings were not succeeding in competing with Figma on user experience design; and (v) Adobe was losing market share to Figma.
Adobe develops, markets, and supports computer software products and technologies, including a line of application software products, type products, and content for creating, distributing, and managing information.
On September 15, 2022, Adobe announced that it had entered into an agreement to acquire Figma, Inc. (“Figma”) for $20 billion in cash and stock. Analysts and the market reported negatively on the acquisition, stating generally that the acquisition was an attempt by Adobe to strategically remove Figma as competition in the market. For example, Evercore ISI reported that Adobe was “losing some momentum to Figma and it was better to buy them out and combine forces” than to allow Figma “to create a bigger beachhead in the enterprise.” Separately, Credit Suisse reported that the deal was priced so high, it represented the highest revenue multiple ever paid for a scaled software-as-a-service company. On this news, the price of Adobe shares declined by $62.39 per share, or approximately 16.8%, from $371.52 per share to close at $309.13 on September 15, 2022.
The lawsuit alleges that, throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to that: (i) Figma was growing its market share and was becoming a leader in user experience design; (ii) Figma was in direct competition with Adobe on user experience design; (iii) Adobe’s product “Express” was not an effective counter to Figma’s growing market share in bringing new customers to Adobe’s paid offerings; (iv) Adobe’s other offerings were not succeeding in competing with Figma on user experience design; and (v) Adobe was losing market share to Figma.