NEW YORK, Oct. 3, 2019 /PRNewswire/ — Scott+Scott Attorneys at Law LLP (“Scott+Scott”), an international securities and consumer rights litigation firm, is investigating whether certain directors and officers of Axogen, Inc. (“Axogen”) (NASDAQ: AXGN) breached their fiduciary duties to Axogen and its shareholders. If you are an Axogen shareholder, you may contact attorney Joe Pettigrew for additional information toll-free at 844-818-6982 or [email protected].
Scott+Scott is investigating whether members of Axogen’s Board of Directors (the “Board”) made, or caused Axogen to make, false and/or misleading statements, as well as failed to disclose material adverse facts, about Axogen’s business, operations, prospects, and financial health. Specifically, Scott+Scott is investigating whether the Board failed to disclose material information, including whether: (1) Axogen increased prices to mask lower sales; (2) Axogen’s pricing alienated customers and threatened Axogen’s growth; (3) ambulatory surgery centers form a significant part of Axogen’s product market; (4) such centers were especially sensitive to price increases; (5) Axogen depended on a small number of surgeons paid to generate sales; (6) Axogen’s inventory model could reasonably lead to channel stuffing; (7) Axogen incentivized sales representatives to encourage channel stuffing; (8) Axogen encouraged sales representatives to backdate revenue, artificially inflating metrics; (9) Axogen lacked adequate internal controls to prevent these problems; (10) Axogen’s key operating metrics were overstated; and (11) as a result, defendants’ positive statements about Axogen’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
On December 18, 2018, Seligman Investments reported allegations of channel stuffing and backdating of revenue, possible overstatement of active accounts, unsustainable growth, and “risks relating to pay-to-play and anti-kickback laws.” On this news, Axogen’s share price declined almost 31% over three days.
What You Can Do
If you are an Axogen shareholder, you may have legal claims against Axogen’s directors and officers. If you wish to discuss this investigation, or have questions about this notice or your legal rights, please contact attorney Joe Pettigrew toll-free at 844-818-6982 or [email protected].
About Scott+Scott
Scott+Scott has significant experience in prosecuting major securities, antitrust, and consumer rights actions throughout the United States. The firm represents pension funds, foundations, individuals, and other entities worldwide with offices in New York, London, Amsterdam, Connecticut, California, and Ohio.
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CONTACT:
Joe Pettigrew
Scott+Scott Attorneys at Law LLP
230 Park Avenue, 17th Floor, New York, NY 10169
844-818-6982
[email protected]
SOURCE Scott+Scott Attorneys at Law LLP