Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses In Excess Of $100,000 Investing In 21Vianet Group, Inc. (VNET) To Contact The Firm
Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential securities fraud at 21Vianet Group, Inc. (“21Vianet” or the “Company”) (NasdaqGS: VNET).
The investigation focuses on whether the Company and its executives violated federal securities laws by making false and misleading statements and/or failing to disclose material facts regarding its business and operations.
On September 10, 2014, Trinity Research Group issued a report asserting that 21Vianet has greatly exaggerated its financial performance. Specifically, the report states the following: (1) the Company overstated the number of cabinets in its IDC network by at least 14.5% and its utilization by at least 11.1 points; (2) the Company claimed to be operating 72 data centers when in fact 31 of the partnerships have been terminated; (3) the Managed Network Services business that the Company utilizes for acquisitions is operated illegally; and (4) the Company misrepresented the revenue of at least two of its acquired companies by 51% as demonstrated by financial statements filed with Chinese authorities.
When this adverse information entered the market, Vianet’s stock price dropped $4.60 per share, or nearly 23%, to close at $15.52 per share on September 10, 2014.
If you invested in 21Vianet stock or options between April 21, 2011 and September 10, 2014 and would like to discuss your legal rights, please contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to firstname.lastname@example.org. Faruqi & Faruqi, LLP also encourages anyone with information regarding 21Vianet’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
Richard W. Gonnello
Faruqi & Faruqi, LLP
685 Third Avenue 26th Floor
New York, NY 10017
Tel: (212) 983-9330
If you have information regarding this case that you would like to make available, please click here to contact us about our investigation.