SAN DIEGO, March 17, 2022 /PRNewswire/ -- Robbins Geller Rudman & Dowd LLP announced that it has filed a class action lawsuit seeking to represent purchasers of Acutus Medical, Inc. (NASDAQ: AFIB) common stock between May 13, 2021 and November 11, 2021, both dates inclusive (the "Class Period") and charging Acutus Medical and certain of its top executives with violations of the Securities Exchange Act of 1934. The Acutus Medical class action lawsuit – captioned Brown v. Acutus Medical, Inc., No. 22-cv-00206 (S.D. Cal.) – was commenced on February 15, 2022.
The plaintiff is represented by Robbins Geller, which has extensive experience in prosecuting investor class actions including actions involving financial fraud. You can view a copy of the complaint by clicking here.
If you wish to serve as lead plaintiff of the Acutus Medical class action lawsuit, please provide your information by clicking here. You can also contact attorney J.C. Sanchezof Robbins Geller by calling 800/449-4900 or via e-mail at jsanchez@rgrdlaw.com. Lead plaintiff motions for the Acutus Medical class action lawsuit must be filed with the court no later than April 18, 2022.
CASE ALLEGATIONS: Acutus Medical is an arrhythmia management company focused on improving the diagnosis and treatment of cardiac arrhythmias. Acutus Medical's primary product is its AcQMap imaging and mapping system, which consists of a console, workstation, proprietary software algorithms, and a single-use catheter that contains ultrasound transducers and electrodes which collect the data required to create a comprehensive map of a patient's cardiac anatomy and electrical propagation pathways and patterns. To gain a market foothold, Acutus Medical initially lent its first-generation AcQMap console and workstation to users free of charge to facilitate the sale of its disposable products. In late 2019, Acutus Medical began to install its second generation AcQMap console and workstation products with potential purchasers under evaluation arrangements.
The Acutus Medical class action lawsuit alleges that, throughout the Class Period, Acutus Medical made false and misleading statements and failed to disclose that: (i) a material percentage of the AcQMap systems under evaluation had been randomly installed at sites with little, if any, consideration given to whether the healthcare providers at the selected locations were likely to adopt, or desire, Acutus Medical's products; (ii) a material percentage of the AcQMap systems under evaluation had been installed in locations where Acutus Medical did not possess the infrastructure necessary to appropriately educate, train, and support medical service providers on the system's operations; (iii) as a result, Acutus Medical was in the process of designing a strategic plan to terminate and relocate approximately 20% of then-existing AcQMap systems evaluation arrangements; (iv) Acutus Medical's management discussion and analysis was materially false and misleading and failed to disclose that the termination and relocation of approximately 20% of existing AcQMap systems evaluation arrangements was reasonably likely to have a material adverse effect on Acutus Medical's 2021 financial results; and (v) Acutus Medical's risk factor discussions were materially false and misleading and made reference to potential risks without disclosing that such risks were then-existing or adequately describing the specific nature of the risks then facing Acutus Medical.
On November 11, 2021, Acutus Medical announced that it had slashed its 2021 revenue guidance due, in part, to a strategic decision by Acutus Medical during the third quarter of 2021 to relocate approximately 20% of AcQMap systems installations under then-existing evaluation arrangements to address meaningfully lower-than-expected product adoption. Further, contrary to Acutus Medical's representations during the Class Period, Acutus Medical revealed that Acutus Medical needed to relocate AcQMap systems that had been placed in improper locations, thereby negatively impacting customer uptake. On this news, the price of Acutus Medical common stock plummeted more than 45% in a single day, damaging investors.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Acutus Medical common stock during the Class Period to seek appointment as lead plaintiff in the Acutus Medical class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the class action lawsuit. An investor's ability to share in any potential future recovery of the class action lawsuit is not dependent upon serving as lead plaintiff.
ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: Robbins Geller Rudman & Dowd LLP is one of the world's leading complex class action firms representing plaintiffs in securities fraud cases. The Firm is ranked #1 on the 2021 ISS Securities Class Action Services Top 50 Report for recovering nearly $2 billion for investors last year alone – more than triple the amount recovered by any other plaintiffs' firm. With 200 lawyers in 9 offices, Robbins Geller's attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit http://www.rgrdlaw.com for more information.
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J.C. Sanchez, 800-449-4900
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SOURCE Robbins Geller Rudman & Dowd LLP
