SAN FRANCISCO, Dec. 4, 2019 /PRNewswire/ -- Hagens Berman urges Merit Medical Systems, Inc. (NASDAQ: MMSI) investors who have suffered losses in excess of $50,000 to submit their losses now to learn if they qualify to recover compensable damages. A securities fraud class action has been filed against the company and senior executives.
Merit Medical Systems (MMSI) Securities Class Action:
The complaint alleges that during the Class Period, Defendants misrepresented and concealed that the integrations of Cianna and Vascular Insights, including their products, sales people, and R&D facilities, had caused operational disruptions and reduced sales and were months behind schedule. The Company also provided false financial guidance for fiscal 2019 and 2020, according to the complaint.
The market learned the truth on July 25, 2019, when Merit announced disappointing Q2 2019 financial results and reduced FY 2019 revenue and earnings guidance. In response, the price of Merit shares plummeted $13.84, down 25% and wiping out over $750 million of the Company's market capitalization.
Then, about 3 months later, on October 30, 2019, Merit announced disappointing Q3 2019 financial results, reduced FY 2019 guidance for the second time in 3 months, and withdrew 2020 guidance in its entirety.
In response, the price of Merit shares declined 33%, wiping out over $530 million of the Company's market capitalization.
"We're focused on investors' losses and proving Merit lied about the successful onboarding of Cianna and Vascular Insights," said Reed Kathrein, the Hagens Berman partner leading the investigation.
Whistleblowers: Persons with non-public information regarding Merit should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
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Reed Kathrein, 844-916-0895
SOURCE Hagens Berman Sobol Shapiro LLP