NEW YORK, Oct. 4, 2019 /PRNewswire/ -- WeissLaw LLP, a national class action and shareholders' rights law firm with offices in New York, Los Angeles and Atlanta, announces an investigation of Ra Medical Systems, Inc. (NYSE: RMED) ("RMED," or the "Company").
If you own RMED shares and wish to discuss this investigation or have any questions concerning this notice or your rights or interests, visit our website:
Joshua Rubin, Esq. WeissLaw LLP 1500 Broadway, 16th Floor New York, NY 10036 (212) 682-3025 (888) 593-4771 [email protected]
The investigation focuses on possible breaches of fiduciary duty and violations of federal securities laws by the RMED Board of Directors for the alleged dissemination of a materially false and/or misleading Registration and Proxy Statement in connection with its September 2018 initial public offering ("IPO"). Notably, on March 14, 2019, the Company reported revenue of approximately $2 million for the fourth quarter of 2018, missing its projections by $710,000, or 35%. On that news, RMED's share price plummeted from the previous trading day's price of $6.53 to trade as low as $3.76 on March 15. The share price continued its slide so that, merely a little more than a year after the Company's IPO, on October 3, 2019, RMED shares closed at $1.14, down approximately 94% from its $17.00 IPO price.
WeissLaw is investigating whether RMED's Board breached its fiduciary duties to the Company and its shareholders by misrepresenting and/or failing to disclose material information about the Company and its operations. Namely, that RMED: (i) did not have an adequately trained and qualified sales staff; (ii) could not reasonably support increases in its catheter production; and (iii) as a result, suffered delays and losses. If you wish to discuss this investigation or have any questions concerning this notice or your rights or interests, please contact Joshua Rubin of WeissLaw LLP at (888)593-4771, or by e-mail at [email protected].
WeissLaw LLP has litigated hundreds of stockholder class and derivative actions for violations of corporate and fiduciary duties. We have recovered over a billion dollars for defrauded clients.