The story
2007 IPO and class action lawsuit
BigBand went public in March 2007. The offering was underwritten by Morgan Stanley, Merrill Lynch, Jeffries & Company, Cowen & Company and ThinkEquity.
In October 2007, a class-action shareholder lawsuit was filed on behalf of shareholders who purchased BigBand Network securities in the company's IPO on March 15, 2007. The lawsuit sought to pursue remedies under the Securities Act of 1933. The complaint alleged BigBand violated the Securities Act, and that company insiders including the CEO, CFO and CTO knowingly published misleading and false statements about the company's financial health and product offerings. In particular, the complaint alleged that BigBand materially misstated their revenues, and engaged, among other allegations, in the practice informally known as channel stuffing to artificially inflate their financials prior to IPO. The suit was settled in 2009, with BigBand agreeing to pay US$1.5 million.
In 2007, BigBand sued a firm started by ex-employees. The firm, called Imagine Communications, was allegedly infringing on 3 of BigBand's patents covering video processing and bandwidth management techniques.
Acquisition by Arris Group
In 2011 the acquisition of BigBand by Arris Group was completed for $172 million, with Arris paying $53 million for the acquisition of BigBand's outstanding shares.
From Wikipedia’s article on BigBand Networks, shared under CC BY-SA 4.0.3