SAN FRANCISCO, March 02, 2018 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP alerts investors in MiMedx Group, Inc. (NASDAQ:MDXG) to the expanded class period in the pending securities class action. The expanded class period includes investors who purchased or otherwise acquired securities of MiMedx between March 7, 2013 and February 21, 2018. The Lead Plaintiff deadline remains April 25, 2018. If you purchased or otherwise acquired securities of MiMedx between March 7, 2013 and February 21, 2018 and suffered losses contact Hagens Berman Sobol Shapiro LLP. For more information, visit:
https://www.hbsslaw.com/cases/MDXG
or contact Reed Kathrein, who is leading the firm’s investigation, by calling 510-725-3000 or emailing
On February 20, 2018, Defendants announced MiMedx postponed release of its fourth quarter and fiscal year 2017 financial results. They explained “[t]he Audit Committee of MiMedx’s Board of Directors has engaged independent legal and accounting advisors to conduct an internal investigation into current and prior-period matters relating to allegations regarding certain sales and distribution practices at the Company” and “Company executives are also reviewing, among other items, the accounting treatment of certain distributor contracts[.]”
This news drove the price of MiMedx shares down $5.72, or nearly 40%, to close at $8.75 on February 20, 2018.
In addition to previous reports of the SEC’s investigation, Reuters reported on February 26, 2018 “Federal authorities are investigating whether the Marietta, Georgia-based company overcharged the government for its tissue-repair products” and “[t]he Justice Department is also looking into MiMedx’s distribution practices – including whether it inappropriately booked sales of products that hadn’t been ordered, a practice known as channel stuffing – according to several others familiar with that probe.”
“We’re focused on Defendants’ previous denials of improper accounting that, if false, damaged investors and on whether MiMedx submitted false claims to the Federal government,” said Hagens Berman partner Reed Kathrein.
Whistleblowers: Persons with non-public information regarding MiMedx should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 510-725-3000 or email MDXG@hbsslaw.com.
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Contact:
Reed Kathrein, 510-725-3000