NEW YORK, Oct. 26, 2022 (GLOBE NEWSWIRE) — Bragar Eagel & Squire, PC, a nationally recognized shareholder rights law firm, is investigating potential claims against Establishment Labs Holdings Inc. (NASDAQ: ESTA), FIGS, Inc. (NYSE:FIGS), and Accelerate Diagnostics, Inc. (NASDAQ: AXDX). Our investigations concern whether these companies violated the federal securities laws and/or engaged in other illegal business practices. More information on each case can be found at the link provided.
Establishment Labs Holdings Inc. (NASDAQ: ESTA)
On October 19, 2022, market analyst Hindenburg Research published a report titled “Establishment Labs: Financially Stretched Silicone Safety Charade,” which claimed, among other things, that “[d]despite claims of superior security, we found that almost all key security studies presented by the company have conflicts of interest, with many secret or under-disclosed.” Further, the report claimed that “Establishment claims to have successfully piloted a ‘revolutionary’ technique to put implants through the armpit using local anesthesia (instead of general), claiming that the technique will greatly expand its Total Addressable Market (TAM). This type of insertion has been reported since the 1970s and has been widely available for nearly 20 years. It failed to gain traction due to security risks.”
The report also claimed that “[b]in addition to security questions not disclosed, we also identified financial risks. Import/export records show that Establishment ships product to entities previously owned by the CEO and his family, raising questions about conflicts of interest.
According to this news, share price fell by 17% when the market opened on October 19, 2022.
For more information about the Establishment investigation go to: https://bespc.com/cases/ESTA
FIGS, Inc. (NYSE: FIGS)
After the market closed on October 18, 2022, Seeking Alpha published an article about a pending lawsuit against healthcare investment company, FIGS, Inc., in which the plaintiff’s counsel stated:
“As I said in court today, our evidence will show during this trial that FIGS founders Heather Hasson and Trina Spear advertised that they had invented a proprietary chemical to make their scrubs antimicrobial, kill bacteria on contact and repel liquid – even though they never did it, and knew it was false… They continued to do it even in the face of internal, expert and consumer pushback.FIGS will not provide any scientific evidence to support their claims or the breakdown of their supposed chemical treatment for scrub.. “
Earlier on September 7, 2022, Spruce Point Capital Management released a brief on FIGOS with allegations including: a history of misrepresenting financial and business metrics going back to before the company’s May 2021 IPO, overstating total addressable market, and its founders “exaggerating his professional work history.”
According to this news, FIGS stock is down more than 10% in intraday trading on October 19, 2022.
For more information about the FIGS survey go to: https://bespc.com/cases/FIGS
Accelerate Diagnostics, Inc. (NASDAQ: AXDX)
After the market closed on October 21, 2022, Accelerate Diagnostics disclosed receiving a request from the US Food and Drug Administration for the company to immediately cease marketing and distribution of its Accelerate Arc system and associated BC Kit for particular diagnostic use.
Previously, Accelerate Diagnostics marketed Accelerate Arc’s products as Class I devices, exempting them from 510(k) clearance requirements. Recently, the FDA informed the company that marketing the products in the United States requires 510(k) clearance.
Shares of Acceler Diagnostics shares fell about 9% in premarket trading and fell more than 40% in intraday trading on October 24, 2022.
For more information on the Accelerate Diagnoses survey go to: https://bespc.com/cases/AXDX
About Bragar Eagel & Squire, PC:
Bragar Eagel & Squire, PC is a nationally recognized law firm with offices in New York, California, and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivatives and other complex litigation in state and federal courts across the country. For more information about the company, please visit www.bespc.com. Lawyer advertising. Previous results do not guarantee similar results.
Bragar Eagel & Squire, PC
Brandon Walker, Esq.
Melissa Fortunato, Esq.