We are investigating Carbonite, Inc. (CARB) (“Carbonite” or the “Company”) for potential violations of the federal securities laws.
On July 25, 2019, Carbonite announced that it was withdrawing its Server Backup VM Edition product from the marketplace and consequently dramatically lowered its financial projections for fiscal 2019 and 2020. That same day, Chief Executive Officer Mohamad S. Ali, a strong proponent and supporter of Server Backup VM Edition, announced his departure from Carbonite. On this news, Carbonite’s stock price fell $5.89 per share, or 24.64%, to close at $18.01 per share on July 26, 2019.