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Snap Inc. Agrees to Settle Investors’ IPO Suit for $155 Million

March 23, 2020, 2:33 PM

Snap Inc. and investors who claim they were cheated when the maker of the multimedia messaging app went public three years ago are settling their dispute for nearly $155 million, according to a filing in federal court in California.

The deal comes months before trial, class representatives told the U.S. District Court for the Central District of California. They’re asking the court to give the agreement preliminary approval.

The plaintiffs say Snap made misleading statements about how many daily active users it had in the period leading up to its March 2017 initial public offering.

Judge Steven Wilson allowed the ...