Saxena White P.A. Has Filed a Securities Fraud Class Action Against Matrixx Initiatives, Inc.
Press Release
Source: Saxena White P.A.
On Friday July 17, 2009, 3:59 pm EDT
Matrixx initiatives inc.
Notice is hereby given that Saxena White P.A. has filed suit on behalf of shareholders of Matrixx Initiatives, Inc. ("Matrixx" or the "Company") (NASDAQ:MTXX - News) in relation to the Company's alleged violations of FDA regulations involving the Zicam Cold Remedy products.
The complaint was filed in the United States District Court for the District of Arizona and seeks damages for violations of federal securities laws on behalf of all investors who purchased Matrixx stock between December 22, 2007 and June 15, 2009, inclusive (the "Class Period"). Matrixx is a nutrient and drug delivery company that develops, manufactures and markets delivery systems for bioactive compounds. The Company, through its subsidiary, produces, markets and sells, among other pharmaceutical products, Zicam Cold Remedy nasal gel, Zicam Cold Remedy gel swabs, and Zicam Cold Remedy children's swabs.
The Complaint alleges that, throughout the Class Period, Defendants failed to disclose material adverse facts concerning the Company's operational well-being and future prospects. Specifically, Defendants failed to disclose or indicate (1) that Matrixx had received notice of hundreds of serious adverse events involving consumers' use of the Zicam Cold Remedy Products; (2) that Matrixx failed to report these incidents to the FDA despite having an obligation to do so; (3) that the Company failed to comply with FDA regulations despite repeated assurances of its compliance; and (4) that, as a result of the foregoing, the Company's statements about its meeting FDA regulations were false and misleading when made.
As a result of this news, the Company's shares declined $13.46 per share, or an astounding 70 percent, to close on June 16, 2009 at $5.78 per share, on unusually heavy trading volume.
A copy of the complaint may be viewed at the firm's website at www.saxenawhite.com. If you purchased Matrixx stock between December 22, 2007 and June 15, 2009, you may contact Joe White or Greg Stone at Saxena White P.A. to discuss your rights and interests:
If you wish to apply to be the lead plaintiff in this action, a motion on your behalf must be filed with the court no later than September 15, 2009. You may contact Saxena White P.A. to discuss your rights regarding the appointment of lead plaintiff and your interest in the class action. Please note that you may also retain counsel of your choice and need not take any action at this time to be a class member.
Saxena White P.A., which has offices in Boca Raton and Boston, specializes in prosecuting securities fraud and complex class actions on behalf of institutions and individuals. Currently serving as lead counsel in numerous securities fraud class actions nationwide, the firm has recovered hundreds of millions of dollars on behalf of injured investors and is active in major litigation pending in federal and state courts throughout the United States.
Contact:
Joseph E. White, IIIEmail ContactGreg StoneEmail ContactSaxena White P.A.2424 North Federal Highway, Suite 257Boca Raton, FL 33431Tel: (561) 394-3399Fax: (561) 394-3382www.saxenawhite.com |
