According to the Complaint, APYX Medical Corporation is a medical technology company that purportedly develops J-Plasma, a plasma-based surgical product for cutting, coagulation and ablation of soft tissue. The Company markets and sells J-Plasma under the brand name Renuvion Cosmetic Technology. The Company claims that it has developed J-Plasma/Renuvion for use in dermal resurfacing procedures. Apyx was formerly known as Bovie Medical Corporation, and its stock traded on the New York Stock Exchange (“NYSE”) under the symbol “BVX” until January 1, 2019.
The Complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. The Complaint specifically alleges Defendants made false and/or misleading statements and/or failed to disclose: (1) that the clinical study on the use of J-Plasma for dermal resurfacing had not met its primary efficacy endpoint; (2) that, as a result, the clinical study did not support the Company’s application for regulatory clearance; (3) that, as a result, the Company was unlikely to receive regulatory approval of J-Plasma for dermal resurfacing; and (4) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially false and/or misleading and/or lacked a reasonable basis.
On July 16, 2019, the Court issued an Order appointing Lead Plaintiff and Counsel. Lead Plaintiff filed an amended Complaint on September 3. Defendants filed a Motion to Dismiss the amended Complaint on October 3. On March 11, 2020, the Court issued an Order denying Defendants' Motion to Dismiss. On June 20, the parties notified the Court that they had reached an agreement-in-prinicple to settle. The parties entered into a Stipulation and Agreement of Settlement on July 9. On July 21, the Court granted preliminary approval of the Settlement.