An investigation on behalf of investors in Establishment Labs Holdings Inc. (NASDAQ:ESTA) shares over potential wrongdoing at Establishment Labs Holdings Inc. was announced.
San Diego, CA -- (SBWIRE) -- 03/16/2023 -- An investigation was announced over potential breaches of fiduciary duties by certain directors at Establishment Labs Holdings Inc.
Investors who purchased shares of Establishment Labs Holdings Inc. (NASDAQ: ESTA) have certain options and should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
The investigation by a law firm concerns whether certain Establishment Labs Holdings Inc. officers and directors breached their fiduciary duties and caused damage to the company and its shareholders.
Costa Rica based Establishment Labs Holdings Inc., a medical technology company, manufactures and markets medical devices for aesthetic and reconstructive plastic surgery. Establishment Labs Holdings Inc. reported that its annual Total Revenue rose from $84.67 million in 2020 to $126.68 million in 2021 and that its Net Loss increased from $38.12 million in 2020 to $41.13 million in 2021.
On October 19, 2022, market analyst Hindenburg Research published a report entitled "Establishment Labs: A Financially Stretched Silicone Safety Charade" which alleged, among other things, that "[d]espite claims of superior safety, we found that almost all key safety studies touted by the company have conflicts of interest, with many undisclosed or under-disclosed." Further, the report alleged that "Establishment claims to have successfully piloted a 'revolutionary' technique to place implants through the armpit using local anesthesia (instead of general), claiming the technique will greatly expand its Total Addressable Market (TAM). This type of insertion has been reported since the 1970s and has been widely available for almost 20 years. It has failed to gain traction due to safety risks."
Shares of Establishment Labs Holdings Inc. (NASDAQ: ESTA) declined from $67.00 per share on September 12, 2022, to $44.03 per share on October 19, 2022.
Those who purchased shares of Establishment Labs Holdings Inc. (NASDAQ: ESTA) have certain options and should contact the Shareholders Foundation.
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