LOS ANGELES–(BUSINESS WIRE)–Glancy Prongay & Murray LLP (“GPM”) announces that it has been appointed Lead Counsel in the securities class action against Acutus Medical, Inc. (“Acutus” or the “Company”) (NASDAQ: AFIB) and certain executive officers of the Company, currently pending in the United States District Court for the Southern District of California.
Investors that purchased Acutus common stock between May 13, 2021 and November 11, 2021 are encouraged to contact Charles H. Linehan, Esq. of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at shareholders@glancylaw.com to discuss the status of the case and the claims in the litigation
The complaint alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (1) 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’s products; (2) a material percentage of the AcQMap systems under evaluation had been installed in locations where Acutus did not possess the infrastructure necessary to appropriately educate, train, and support medical service providers on the system’s operations; (3) as a result of the foregoing, Acutus was in the process of designing a strategic plan to terminate and relocate approximately 20% of then-existing AcQMap systems evaluation arrangements; (4) 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 (5) as a result of the foregoing, Defendants’ public statements were materially false and misleading at all relevant times.
On November 11, 2021, Acutus announced that it was slashing its 2021 revenue guidance from a range of $22 million to $33 million down to a range of $17 million to $17.5 million. The Company attributed the revision in substantial part to on the Company’s adoption of a new commercialization strategy focused on system relocations, sales training, and system utilization. During a conference call held the same day, the Company revealed that it had removed and repositioned approximately 20% of its AcQMap systems under evaluation arrangements during the prior quarter. The Company also admitted that these systems had been experiencing below-target utilization and that relocating such a large portion of the Company’s installations would negatively impact Acutus’s growth.
On this news, Acutus’s share price fell $3.02, or 45.3%, to close at $3.64 on November 12, 2021, thereby injuring investors.
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