NYSE
IBM

International Business Machines Corporation

Shareholder Securities Fraud Litigation

Rigrodsky & Long, P.A. Announces A Securities Fraud Class Action Lawsuit Has Been Filed Against International Business Machines Corporation (NYSE: IBM)

Rigrodsky & Long, P.A., including former Special Assistant United States Attorney, Timothy J. MacFall, announces that a complaint has been filed in the United States District Court for the Southern District of New York on behalf of all persons or entities that purchased the common stock of International Business Machines Corporation (“IBM” or the “Company”) (NYSE: IBM) between April 17, 2014 and October 17, 2014, inclusive (the “Class Period”), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the “Complaint”).

If you purchased shares of IBM during the Class Period, or purchased shares prior to the Class Period and still hold IBM, and wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Timothy J. MacFall, Esquire or Peter Allocco of Rigrodsky & Long, P.A., 2 Righter Parkway, Suite 120, Wilmington, DE 19803 at (888) 969-4242; by e-mail to info@rl-legal.com.

The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements, and omitted materially adverse facts, about the Company’s business, operations and prospects.  Specifically, the Complaint alleges that the defendants concealed from the investing public adverse facts regarding the true value of IBM’s Microelectronics business.  As a result of defendants’ alleged false and misleading statements, the Company’s stock traded at artificially inflated prices during the Class Period.

According to the Complaint, on October 20, 2015, IBM and Globalfoundries issued a press release jointly announcing that Globalfoundries would “acquire” IBM’s semiconductor unit for a payment of $1.5 billion from IBM to Globalfoundries, and that as part of the agreement, Globalfoundries would continue to supply semiconductors to IBM on an exclusive basis.  That same day, IBM issued a press release announcing disappointing financial results for its 2014 third quarter.

On this news, shares in IBM dropped over 11% in the following days, closing at $161.79 per share on October 22, 2015, on extraordinarily high trading volume.

If you wish to serve as lead plaintiff, you must move the Court no later than May 1, 2015.  A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.  In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class.  Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff.  Any member of the proposed class may move the court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.

While Rigrodsky & Long, P.A. did not file the Complaint in this matter, the firm, with offices in Wilmington, Delaware and Garden City, New York, regularly litigates securities class, derivative and direct actions, shareholder rights litigation and corporate governance litigation, including claims for breach of fiduciary duty and proxy violations in the Delaware Court of Chancery and in state and federal courts throughout the United States.

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