What is the expected timeline for the investigation and any possible disclosures to the SEC?

Investigation timeline – what to expect

Glancy Prongay & Murray’s notice simply says the firm has “commenced an investigation” on behalf of PubMatic investors. In practice, a securities‑fraud probe of this type moves through three typical phases:

1. Fact‑gathering (‑‑ 2‑4 weeks). The firm will interview former executives, request corporate records, and review trading data. Because the case is being run by a private securities‑fraud practice rather than the SEC, the early fact‑finding stage is usually completed within a few weeks.

2. Pre‑complaint or SEC‑filing decision (‑‑ 1‑2 months). Once the firm has enough evidence, it will either file a private securities‑fraud lawsuit or forward its findings to the SEC. If the SEC is involved, the agency typically issues a “letter‑to‑the‑company” or a “request for information” within 30‑45 days of receipt of the complaint.

3. Public disclosure (‑‑ 4‑business‑day filing window). If the investigation rises to the level of a material event for PubMatic, the company is required to file a Form 8‑K with the SEC within four business days of the decision to disclose. Until the firm decides whether to pursue a private claim or refer the matter to the SEC, no SEC filing is expected.

Trading implications

• Short‑term: Expect the stock to stay volatile for the next 2‑4 weeks as the market digests the fact‑finding phase. The current negative sentiment (‑70) and the “lawsuit” tag have already pressured PUBM lower, so any surprise—e.g., a rapid 8‑K filing—could trigger a sharp move.
• Medium‑term: If the firm escalates the case to the SEC and PubMatic is forced to disclose material findings, the market will react to the content of the 8‑K. Historically, SEC‑related disclosures in a securities‑fraud context generate a 5‑10 % price swing within a few days of the filing. Traders should keep a tight stop‑loss (≈3‑4 % below current levels) and be ready to short on any negative 8‑K language, or go long on a “no‑material‑event” filing if the company can demonstrate compliance.

Bottom line: The investigation itself will likely take 2–4 weeks to gather evidence, with any SEC‑related disclosure (Form 8‑K) required within four business days after the firm decides the matter is material. Until that point, the stock will remain in a tight, volatility‑driven range; positioning should be short‑biased with tight risk controls, ready to pivot if a formal SEC filing materializes.