/C O R R E C T I O N -- Faruqi & Faruqi, LLP/

Faruqi & Faruqi, LLP has issued a correction pertaining to its previous announcement regarding a securities class action lawsuit involving Varonis Systems, Inc. (NASDAQ: VRNS). The updated release emphasizes the urgency for affected investors, specifically those who purchased or acquired Varonis securities between February 4, 2025, and October 28, 2025, to be aware of the upcoming deadline of March 9, 2026, to apply for lead plaintiff status in the lawsuit.

Securities Litigation Partner, Josh Wilson, encourages impacted investors to reach out for discussions about their legal rights and options. The firm, a prominent national securities law entity founded in 1995, has a track record of recovering substantial amounts for investors, and now focuses on allegations against Varonis. The complaint asserts that Varonis and its executives misled investors with positive public statements while failing to disclose serious issues regarding the company's ability to convert its customer base to its new Software as a Service (SaaS) offerings. This purported lack of transparency led to artificially inflated stock prices, ultimately causing financial harm to investors.

Faruqi & Faruqi invites any parties with information about Varonis's practices—such as whistleblowers and former employees—to come forward. Those interested in participating in the class action can either file for lead plaintiff status or remain as passive class members, with the assurance that their recovery rights will not be impacted by their participation level.

For further information about the Varonis Systems class action, investors are directed to the firm's website or can contact Josh Wilson directly. The corrected statement serves as a crucial reminder for investors to understand their rights and options in response to the situation facing Varonis.

In light of recent developments surrounding Varonis Systems, Inc. (NASDAQ: VRNS), investors should exercise caution and diligence when navigating the turbulent waters of the current class action lawsuit initiated by Faruqi & Faruqi, LLP. The lawsuit, emphasizing allegations of misleading statements regarding the company’s capacity to transition its existing customer base to a Software as a Service (SaaS) model, highlights fundamental concerns about Varonis' future growth prospects and revenue recognition.

Given that the lawsuit specifically cites a significant decline in Annual Recurring Revenue (ARR) growth potential, potential investors should critically assess Varonis’ strategic direction and operational dynamics before making investment decisions. The deadline of March 9, 2026, for shareholders to join as lead plaintiffs in the class action amplifies the sense of urgency for current investors or those considering purchasing the stock.

Market participants should closely monitor Varonis' public disclosures and financial performance metrics, specifically focusing on user conversion rates, customer retention strategies, and broader market acceptance of its SaaS offerings. Investors with exposure to Varonis may want to reevaluate their positions in light of these unresolved legal challenges, uncertain growth trajectories, and potential reputational damage.

Additionally, engaging with legal counsel or financial advisors to fully understand the implications of participation in the class action could be beneficial. For those considering taking action, consulting with Faruqi & Faruqi, LLP may provide clarity on legal options and potential recovery mechanisms.

Ultimately, while Varonis has the potential for innovation within the data management sector, the current legal landscape poses substantial risks. Therefore, prudent investors may want to adopt a wait-and-see approach, balancing opportunities against the inherent uncertainties at play.