NEW YORK, March 6, 2015 (GLOBE NEWSWIRE) -- Pomerantz LLP has filed a class action lawsuit against MiMedx Group, Inc. ("MiMedx" or the "Company") (Nasdaq:MDXG) and certain of its officers. The class action, filed in United States District Court, Southern District of New York, and docketed under 15-cv-1221, is on behalf of a class consisting of all persons or entities who purchased MiMedx securities between February 26, 2014 and December 31, 2014, inclusive (the "Class Period"). This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934 (the "Exchange Act").
If you are a shareholder who purchased MiMedx securities during the Class Period, you have until April 20, 2015 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 rswilloughby@pomlaw.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.
MiMedx is a medical device company. The Company is focused on developing and marketing biomaterials for soft tissue repair, such as tendons, ligaments, and cartilage, as well as other biomaterial based products for other medical applications.
The Complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (1) the Company was in violation of federal regulations by engaging in improper marketing and sales practices; and (2) as a result of the foregoing, the Company's statements were materially false and misleading at all relevant times.
On December 31, 2014, after the close of trading, the Company issued a press release announcing the receipt of a civil subpoena from the Office of Inspector General ("OIG") of the Department of Health and Human Services ("HHS"). Moreover, the Company announced the same day that it had filed a lawsuit against one of its competitors, Organogenesis, Inc. ("Organogenesis"), for tortious interference of contract, alleging that it had interfered with MiMedx's dealings with the Veterans Administration. Within a matter of weeks, MiMedx voluntarily dismissed the lawsuit.
On this news, MiMedx securities declined $1.79 per share, or more than 15%, to close at $9.74 per share on January 2, 2015, the next trading day.
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.