Madge NV has been hit by a shareholder class action lawsuit less than a month after it went public on Nasdaq: the allegations relate to the company’s announcement on August 11 of a reduction in the suggested retail list prices for its products in the US which was of course a purely cosmetic exercise since it simply brought the list prices more in line with street prices and did not affect the prices paid by resellers; the complaint – which sounds as if the petitioners haven’t a clue about the nature of the computer industry to the extent that they should stick to mutual funds, requests class action status, and seeks unspecified damages and the right of some buyers of the company’s shares to rescind those purchases; Madge denies the allegations in the complaint and said it intends to vigorously defend the lawsuit.
