Ademi & O’Reilly, LLP is investigating possible securities fraud claims against 2U (NASDAQ: TWOU) resulting from inaccurate statements 2U made regarding its business practices, financial statements and prospects.
The investigation focuses on whether 2U issued false and misleading statements regarding its business practices, products, financial statements, past and future business performance and prospects. Specifically, 2U’s earlier representations that it was facing program-specific issues with respect to a coherent and sustainable business model were false. Instead, 2U’s underlying business model, itself, was becoming increasingly less coherent and less sustainable as it faced increased competition and much lower conversion rates requiring 2U to reduce dramatically the number of graduate level programs it would be offering and launching in the future.