According to the Complaint, Merit Medical Systems, Inc. is a manufacturer and marketer of proprietary disposable medical devices used in interventional, diagnostic, and therapeutic procedures, particularly in cardiology, radiology, oncology, critical care, and endoscopy.
The Complaint alleges that during the Class Period, Defendants made false and misleading statements and/or failed to disclose adverse information concerning Merit’s business and prospects. Specifically, the Complaint alleges Defendants failed to disclose that: (a) the integrations of Cianna and Vascular Insights, including their products, sales people, and R&D facilities had caused operational disruptions and reduced sales and were months behind schedule; (b) sales of acquired company products had slowed substantially due to pre-acquisition pipeline fill, in particular for Vascular Insights products which, as late as July 2019, had zero orders during fiscal 2019; and (c) in light of the foregoing, the Company’s reported financial guidance for fiscal 2019 and 2020 was made without a reasonable basis.
On February 24, 2020, the Court issued an Order consolidating cases and appointing Lead Plaintiff and Counsel. All future docketing was ordered to be done in the lead case 19-CV-02326.
Lead Plaintiff filed a consolidated Complaint on June 30, 2020. Defendants filed a Motion to Dismiss the consolidated Complaint on August 14. On March 29, 2021, the Court issued an Order denying Defendants' Motion to Dismiss.
On November 24, 2021, the parties notified the Court that they had reached an agreement in principle to settle the case. The parties entered into a Stipulation and Agreement of Settlement on December 21. On January 3, 2022, the Court granted preliminary approval of the Settlement. On April 15, the Court issued an Order approving an award of Attorneys' Fees and Expenses, and on April 18, the Court granted final approval of the Settlement and entered Final Judgment.
On January 5, 2023, the Court issued an Order approving the distribution plan of the Settlement.
