The law firm of Kirby McInerney LLP is investigating potential claims against Edgio, Inc. (“Edgio") (NASDAQ: EGIO). The investigation concerns whether Edgio and/or certain of its officers have violated the federal securities laws and/or engaged in other unlawful business practices.
Edgio operates content delivery network for internet distribution of video, music, games, and download.
On March 13, 2023, Edgio issued a press release disclosing that it will restate its previously issued financial statements for the years ended December 31, 2021 and 2020, and Quarterly Reports for 2022 and 2021 related to the revenue recognition of its Open Edge Solution. Edgio further disclosed that its audit committee “identified an error in the Company’s historic accounting treatment of Edgio’s Open Edge solution.” As a result, the Company further disclosed that it would be unable to file its annual report on time. On this news, the price of Edgio shares declined by $0.16 per share, or approximately 15.50%, from $1.03 per share to close at $0.87 on March 13, 2023.