NEW YORK– LAWFUEL – Law News Network –Lerach Coughlin Stoia Geller Rudman & Robbins LLP (“Lerach Coughlin”) (http://www.lerachlaw.com/cases/atricure/) today announced that a class action lawsuit has been commenced in the United States District Court for the Southern District of New York on behalf of those who purchased the common stock of AtriCure (“AtriCure” or the “Company”) (NASDAQ:ATRC) pursuant and/or traceable to the Company’s initial public offering on or about August 4, 2005 through February 16, 2006, seeking to pursue remedies under the Securities Act of 1933 (the “Securities Act”). This action concerns the initial public offering of AtriCure common stock which took place on or about August 4, 2005 (the “IPO” or the “Offering”).
If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, Samuel H. Rudman or David A. Rosenfeld of Lerach Coughlin at 800/449-4900 or 619/231-1058 or via e-mail at [email protected] If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.lerachlaw.com/cases/atricure/. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
The complaint charges AtriCure and certain of its officers and directors with violations of the Securities Act. AtriCure is a medical device company that engages in the development, manufacture, and sale of surgical devices designed to create precise lesions, or scars, in cardiac and soft tissues.
The complaint alleges that the Registration Statement and Prospectus issued in connection with the Company’s IPO contained inaccurate statements of material fact because they failed to disclose that the Cleveland Clinic, where a significant portion of procedures that used the Company’s products were being performed, was an investor in the Company and that doctors from the Cleveland Clinic had been paid consultants to the Company.
On February 16, 2006, AtriCure issued a press release announcing its financial results for the fourth quarter of 2005 and the fiscal year ended December 31, 2005 and disclosed, among other things, that the Company was experiencing a “negative impact” on its business due to the revelations concerning the Cleveland Clinic.
In response to this announcement the price of AtriCure common stock dropped from $10.36 per share to $8.04 per share on extremely heavy trading volume.
Plaintiff seeks to recover damages on behalf of all those who purchased the common stock of AtriCure pursuant and/or traceable to the Company’s initial public offering on or about August 4, 2005 through February 16, 2006. The plaintiff is represented by Lerach Coughlin, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.
Lerach Coughlin, a 180-lawyer firm with offices in San Diego, San Francisco, Los Angeles, New York, Boca Raton, Washington, D.C., Houston, Philadelphia and Seattle, is active in major litigations pending in federal and state courts throughout the United States and has taken a leading role in many important actions on behalf of defrauded investors, consumers, and companies, as well as victims of human rights violations. Lerach Coughlin lawyers have been responsible for more than $20 billion in aggregate recoveries. The Lerach Coughlin Web site (http://www.lerachlaw.com) has more information about the firm.