NEW YORK, Aug. 26, 2013 /PRNewswire/ -- Pomerantz Grossman Hufford Dahlstrom & Gross LLP has filed a class action lawsuit against Biolase, Inc. ("Biolase" or the "Company") (NASDAQ: BIOL) and certain of its officers. The class action, filed in United States District Court, Central District of California, and docketed under SACV 13-1317-DMG, is on behalf of a class consisting of all persons or entities who purchased or otherwise acquired securities of Biolase between November 5, 2012 and August 7, 2013 both dates inclusive (the "Class Period"). This class action seeks to recover damages against the Company and certain of its officers and directors as a result of alleged violations of the federal securities laws pursuant to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder.
If you are a shareholder who purchased Biolase securities during the Class Period, you have until October 22, 2013 to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at email@example.com or 888.476.6529 (or 888.4-POMLAW), toll free, x237. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and number of shares purchased.
Biolase is a biomedical company that develops, manufactures, and markets lasers in dentistry and medicine and also markets and distributes dental imaging equipment, including cone beam digital x-rays and CAD/CAM intra-oral scanners.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business and operations. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company was facing near term solvency issues; (ii) the Company faced severe liquidity problems; (iii) the Company's sales were not as strong as reported; and (iv) as a result of the foregoing, the Company's financial statements were false and misleading at all relevant times.
On August 9, 2013, the Company announced in its quarterly report for the period ending June 30, 2013, that Biolase was in breach if its financial covenants related to its lines of credit. On this news, shares of Biolase declined $1.61 per share, more than 47%, to close at 1.81 per share on August 13, 2013.
Then on August 14, 2013, an analyst report was published on seekingalpha.com which criticized the Company for misleading investors regarding the extent of its solvency problems as well as providing the market with false guidance regarding the Company's sales and the state of adoption of the Company's products by practitioners. On this news, shares of Biolase declined $0.61 per share, more than 33%, to close at 1.20 per share on August 14, 2013.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and San Diego, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 70 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
Robert S. Willoughby
Pomerantz Grossman Hufford Dahlstrom & Gross LLP
SOURCE Pomerantz Grossman Hufford Dahlstrom & Gross LLP