LOS ANGELES, March 06, 2023 (GLOBE NEWSWIRE) -- Glancy Prongay & Murray LLP (“GPM”) reminds investors of the upcoming March 13, 2023 deadline to file a lead plaintiff motion in the class action filed on behalf of Bioventus Inc. (“Bioventus” or the “Company”) (NASDAQ: BVS) investors who purchased: (a) Class A common stock pursuant and or traceable to the Offering Documents issued in connection with the Company’s February 2021 initial public offering (“IPO”); and/or (b) securities between February 11, 2021 and November 21, 2022, inclusive (the “Class Period”).
If you suffered a loss on your Bioventus investments or would like to inquire about potentially pursuing claims to recover your loss under the federal securities laws, you can submit your contact information at www.glancylaw.com/cases/bioventus-inc/. You can also contact Charles H. Linehan, of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at shareholders@glancylaw.com to learn more about your rights.
On or about February 11, 2021, Bioventus conducted its IPO selling 8 million shares of Class A common stock at $13 per share.
On November 16, 2022, Bioventus issued a press release announcing that it could not timely file its quarterly report for the period ended October 1, 2022 because of “the recent decline in the Company's market capitalization subsequent to its previously announced financial results for the third quarter of 2022," which resulted in the Company needing "additional time . . . to assess whether a non-cash impairment charge is required for the third quarter of 2022." The Company also noted that it was "seeking resolution related to the validity of a revised invoice" regarding "rebate claims” which would likely adversely affect the Company's previously announced third quarter 2022 financial results. Moreover, the Company disclosed that "its internal controls related to the timely recognition of quarterly rebates were inadequate."
On this news, Bioventus's stock price fell $1.00 per share, or 33.67%, to close at $1.97 per share on November 17, 2022, representing a total decline of 84.85% from the IPO price.
Then, on November 21, 2022, Bioventus issued a press release announcing revised third quarter 2022 results to account for “additional rebate claims related to certain of the Company’s products and a non-cash impairment charge” that amounted to $189.2 million “due to the recent decline in […] market capitalization subsequent to [its] previously announced financial results.” Additionally, Bioventus advised of various changes to its historical practices that were necessary to account for rebates, stating that these changes materially impacted the Company’s evaluation of its ability to meet debt covenants, resulting in liquidity and going concern disclosures.
On this news, Bioventus’s stock price fell $0.07, or 3.72%, to close at $1.81 per share on November 22, 2022, thereby injuring investors further.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Bioventus suffered from significant liquidity issues; (2) the Company's rebate practices were unsustainable; (3) accordingly, Defendants overstated the Company's business and financial prospects; (4) Bioventus maintained deficient disclosure controls and procedures and internal control over financial reporting with respect to the timely recognition of quarterly rebates; (5) all the foregoing increased the risk that the Company would be forced to recognize a significant non-cash impairment charge, could not timely file one or more of its financial reports, would have to amend one or more of its financial statements, and could not meet its financial obligations as they came due; and (6) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased or otherwise acquired Bioventus securities during the Class Period, you may move the Court no later than March 13, 2023 to request appointment as lead plaintiff in this putative class action lawsuit. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact Charles Linehan, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles, California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to shareholders@glancylaw.com, or visit our website at www.glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
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Contacts
Glancy Prongay & Murray LLP, Los Angeles
Charles Linehan, 310-201-9150 or 888-773-9224
shareholders@glancylaw.com
www.glancylaw.com
