Robbins Arroyo LLP: Intersect ENT, Inc. (XENT) Misled Shareholders According to a Recently Filed Lawsuit
SAN DIEGO & MENLO PARK, Calif.--(BUSINESS WIRE)--May 24, 2019--
Shareholder rights law firm Robbins Arroyo LLP announces that a purchaser of Intersect ENT, Inc. (NASDAQ: XENT) filed a class action complaint for alleged violations of the Securities Exchange Act of 1934 between August 1, 2018 and May 6, 2019. Intersect ENT is a commercial drug delivery company that purports to develop products for patients with ear, nose, and throat conditions. Intersect ENT’s PROPEL family of products are used in conjunction with sinus surgery, and its SINUVA sinus implant is used to treat patients who have had surgery yet suffer from recurrent sinus obstruction due to polyps.
View this information on the law firm’s Shareholder Rights Blog: https://www.robbinsarroyo.com/intersect-ent-inc/
Intersect ENT Accused of Misleading Investors
According to the complaint, in August 2018, Intersect ENT revealed that it was facing challenges with the launch of SINUVA, which negatively impacted its second quarter 2018 financial results. In the following conference call discussing Intersect ENT’s quarterly results, CEO Lisa Earnhardt noted that Intersect ENT was adding to its reimbursement leadership to focus on payer outreach and field support. However, Intersect failed to disclose to investors that it lacked adequate reimbursement representatives to ensure physicians had access to SINUVA. This caused its sales force to concentrate on helping with reimbursement as opposed to driving sales growth, while physicians became less likely to adopt SINUVA due to transaction costs and delays in reimbursement. In May 2019, Intersect ENT disclosed a first quarter 2019 loss of $10.8 million and lowered guidance for the remainder of 2019. It also reported that Earnhardt, CEO of 11 years, had resigned. On this news, Intersect ENT’s share price fell more than 25% to close at $25.10 per share on May 7, 2019.
Intersect ENT Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leo Kandinov at (800) 350-6003, firstname.lastname@example.org or via the shareholder information form on the firm’s website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
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View source version on businesswire.com:https://www.businesswire.com/news/home/20190524005277/en/
CONTACT: Leo Kandinov
Robbins Arroyo LLP
5040 Shoreham Place
San Diego, CA 92122
(619) 525-3990 or Toll Free (800) 350-6003
KEYWORD: UNITED STATES NORTH AMERICA CALIFORNIA
INDUSTRY KEYWORD: PROFESSIONAL SERVICES LEGAL
SOURCE: Robbins Arroyo LLP
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PUB: 05/24/2019 12:01 PM/DISC: 05/24/2019 12:01 PM