VMware $102.5M Securities Class Action Settlement

If you purchased Class A common stock of VMware, Inc. between August 24, 2018, and February 27, 2020, you may be eligible to claim a portion of a class action settlement.

VMware, Inc. has agreed to pay $102,500,000 to settle a class action lawsuit for alleged false or misleading statements about their sales backlog, which purportedly led to inflated stock prices.

Who are the class members?

To be considered a class member, you must have purchased VMware Class A common stock between August 24, 2018, and February 27, 2020 and suffered losses as a result. Here are the criteria:

How much can class members get?

The estimated average recovery is $1.87 per damaged share before fees and expenses. However, the actual amount may vary based on several factors:

• The total value of recognized claims.
• The number of shares purchased and the timing of sales.
• Fees and costs deducted from the settlement fund.

The distribution will be calculated on a pro-rata basis, meaning each claimant’s share will be proportional to their recognized claim compared to the total recognized claims.

How to claim compensation

To claim an award, you must submit a claim form. You can file a claim online or download the PDF claim form and mail it to the Claims Administrator at VMware Securities Litigation, c/o Gilardi & Co. LLC, P.O. Box 301170, Los Angeles, CA 90030-1170.

 Claimants need to provide proof of their transactions in VMware Class A common stock. This includes:

• Brokerage confirmation slips or monthly statements.
• Documentation showing the number of shares purchased and sold, including dates and prices.

Claim instructions

1. Gather all necessary documentation of your VMware Class A common stock transactions.
2. Complete the claim form with accurate details.
3. Submit the form online or mail it to the Claims Administrator by March 17, 2025.

Payout methods

• Check
• Electronic payment

$102.5 Million Settlement fund

The settlement fund of $102,500,000 will cover:

• Payments to class members
• Attorneys’ fees up to $25,625,000 (25% of the settlement amount)
• Litigation expenses up to $950,000
• Administration costs

Important dates

Deadline to File a Claim: March 17, 2025

When is the VMware Securities Litigation payout date?

Payments will be made after the final approval of the settlement and the completion of all claims processing. The settlement administrator states thier case can take "an average of 9 to 12 months from the filing deadline."

Why is there a class action settlement?

The class action lawsuit was filed against VMware for allegedly making false or misleading statements about their sales backlog, which purportedly inflated the stock price. The settlement resolves these claims without admitting any wrongdoing.