Company: Apyx Medical Corporation
Class Period: August 1, 2018 — April 1, 2019
Court: U.S.D.C. – Middle District of Florida
Deadline: June 17, 2019
A shareholder class action complaint has been filed against Apyx Medical Corporation (“Apyx”) f/k/a/ Bovie Medical Corporation on behalf of investors who purchased shares of the Company’s stock between August 1, 2018 and April 1, 2019 (the “Class Period”).
Apyx is a medical technology company that purportedly develops J-Plasma, a plasma-based surgical product for cutting, coagulation and ablation of soft tissue. The Company markets and sells J-Plasma under the brand name Renuvion Cosmetic Technology. The Company claims that it has developed J-Plasma/Renuvion for use in dermal resurfacing procedures.
According to the complaint, during the Class Period the defendants made a series of false and misleading statements to investors, and failed to disclose that: (1) that the clinical study on the use of J-Plasma for dermal resurfacing had not met its primary efficacy endpoint; (2) that, as a result, the clinical study did not support the Company’s application for regulatory clearance; and (3) that, as a result, the Company was unlikely to receive regulatory approval of J-Plasma for dermal resurfacing.
On February 21, 2019, White Diamond Research released a report alleging, among other things, that a clinical study on the use of the company’s J-Plasma for dermal resurfacing may have missed its endpoints. Following this news, shares of the company’s stock fell $2.10 per share, or nearly 25%, to close on February 21, 2019 at $6.40 per share.
Subsequently, on April 1, 2019, Apyx revealed that it had withdrawn its application for regulatory clearance of J-Plasma for use in dermal resurfacing procedures, citing concerns raised by the U.S. Food and Drug Administration (“FDA”). Following this additional news, shares of the company’s stock declined an additional $2.49 per share, or nearly 36%, to close on April 2, 2019 at $4.46 per share.
Apyx stockholders who purchased shares of the Company’s stock prior to August 1, 2018 are encouraged to contact Kaskela Law LLC at (888) 715 – 1740, or by completing the form on this page, to receive additional information about this action and their legal rights and options.