According to the law firm press release, Endurance International Group Holdings, Inc. ("Endurance" or the Company) provides cloud-based platform solutions for small and medium-sized businesses.

The Complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose to investors: (1) that the Company overstated its 2014 Average Revenue per Subscriber and organic growth rate; (2) that the Company engaged in irregular accounting practices related to its international business; and (3) that, as a result of the foregoing, the Company’s statements about its business, operations, and prospects were false and misleading and/or lacked a reasonable basis.

On April 28, 2015, Gotham City Research LLC published a report alleging, among other things, that 40% to 100% of Endurance’s reported profits were suspect and that the Company’s normalized profits would be insufficient to cover its interest expenses. The report alleged that the Company uses related parties to inflate earnings, and that various accounting irregularities relating to the Company’s international business existed. The report also alleged that the Company’s reported organic growth rate was overstated and that 2014 Average Revenue per Subscriber (“ARPS”) had actually declined 13% when the Company’s 10-K claimed that ARPS had grown 11%. Following this news, shares of Endurance declined over 10%, to close on April 28, 2015, at $19.70 per share, on unusually heavy volume.

Plaintiffs filed an amended Complaint on December 8, 2015. This was followed by a second amended Complaint on March 18, 2016.

A third amended Complaint was filed on June 30, 2017.

On July 6, 2018, the parties entered into a Stipulation of Settlement. The Court issued an Order preliminarily approving the Settlement on January 2, 2019. On September 13, the Court granted final approval of the Settlement and entered Final Judgment. The Court issued a Class Distribution Order on January 27, 2021.