Hagens Berman Advises Hortonworks, Inc. (NASDAQ: HDP) Investors of April 29, 2016 Lead Plaintiff Deadline in a Newly Filed Class Action

SAN FRANCISCO, March 02, 2016 -- Hagens Berman Sobol Shapiro LLP, a national investor-rights law firm, announces the filing of a securities fraud class action lawsuit against Hortonworks, Inc. (NASDAQ:HDP) regarding its misrepresentations to investors and failure to disclose lack of adequate cash, and alerts investors there is an April 29, 2016 lead plaintiff deadline. 

If you suffered losses because of your purchases of HDP between November 4, 2015 and January 1, 2016, or have information that will help our investigation, contact Hagens Berman Partner Reed Kathrein, who is leading the firm’s investigation by calling 510-725-3000, email [email protected] or visit https://www.hbsslaw.com/cases/HDP.  The lawsuit was filed in the U.S. District Court for the Northern District of California and investors have until April 29, 2016 to move the court to participate as a lead plaintiff.

The lawsuit filed against Hortonworks states that the company issued materially false and misleading statements about its capital. According to the suit, Hortonworks misrepresented that it had sufficient cash and cash equivalents to fund 12 months of working capital and capital expenditure needs and failed to disclose that they actually lacked adequate cash to meet those working capital and capital expenditure requirements over that period of time. The suit also states that Hortonworks failed to disclose that, as a result, the Company was contemplating a significant offering to fund its operations.

On Friday, January 15, 2016, post-market, Hortonworks announced it retained Goldman Sachs to raise $100 million in a secondary offering. In response, one analyst stated, “…it will be incumbent on HDP during its roadshow to show why this offering, announced in this way, at this time, should not be interpreted as evidence of serious difficulty.”

When the truth about the Company's operations was revealed on January 15, 2016, the price of HDP stock price declined $6.13 or nearly 37%, to close at $10.44 on January 19, 2016, the next trading day.

Whistleblowers: Persons with non-public information regarding Hortonworks, Inc. should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new SEC whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at (510) 725-3000 or email [email protected].

About Hagens Berman
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Contact:
Reed Kathrein, 510-725-3000