Nano-X Imaging Ltd. Class Action Lawsuit
- Company Name
- Nano-X Imaging Ltd.
- Stock Symbol
- Class Period
- August 21, 2020 to September 15, 2020
- Motion Deadline
- November 15, 2020
- Eastern District of New York
The Nano-X Imaging Ltd. class action lawsuit charges Nano-X and certain of its officers with violations of the Securities Exchange Act of 1934 and seeks to represent purchasers or acquirers of Nano-X securities between August 21, 2020 and September 15, 2020, inclusive (the “Class Period”). The Nano-X class action lawsuit was commenced on September 16, 2020 in the Eastern District of New York and is captioned White v. Nano-X Imaging Ltd., No. 20-cv-04355.
Nano-X purportedly develops and produces x-ray source technology for the medical imaging industry. Nano-X’s x-ray imaging solution, called the “Nanox System,” includes two integrated components – hardware (“Nanox.ARC”) and software (“Nanox.CLOUD”). The Nanox.ARC has not been approved by regulators. The Nanox System is purportedly designed to enable medical screening as a service to improve accessibility and affordability of early detection.
The Nano-X class action lawsuit alleges that during the Class Period defendants made false and/or misleading statements and/or failed to disclose that: (1) Nano-X’s commercial agreements and its customers were fabricated; (2) Nano-X’s statements regarding its “novel” Nanox System were misleading, as Nano-X never provided data comparing its images with images from competitors’ machines; (3) Nano-X’s submission to the U.S. Food and Drug Administration (“FDA”) admitted the Nanox System was not original; and (4) as a result, defendants’ public statements were materially false and/or misleading at all relevant times.
On September 15, 2020, Citron Research published a report entitled “Nano-X Imaging (NNOX) A Complete Farce on the Market – Theranos 2.0.” The Citron report summarized Nano-X as a “$3 billion company [that] is nothing more than a science project with a simple rendering, minimal [research and development], fake customers, no FDA approval, and fraudulent claims that are beyond the realm of possibility.” In addition, the Citron report concluded that Nano-X’s claims about its customers with commercial agreements were false. The Citron report also discussed how Nano-X had not published any data comparing images from its machines with other x-ray machines and that Nano-X’s statement that it was creating a novel solution to medical imaging was false. On this news, the price of Nano-X shares fell more than 25% over the next two trading days, damaging investors.
The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Nano-X securities during the Class Period to seek appointment as lead plaintiff in the Nano-X class action lawsuit. A lead plaintiff will act on behalf of all other class members in directing the Nano-X class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the Nano-X class action lawsuit. An investor’s ability to share in any potential future recovery of the Nano-X class action lawsuit is not dependent upon serving as lead plaintiff. If you wish to serve as lead plaintiff of the Nano-X class action lawsuit or have questions concerning your rights regarding the Nano-X class action lawsuit, please provide your information here or contact counsel, Michael Albert of Robbins Geller, at 800/449-4900 or 619/231-1058 or via e-mail at firstname.lastname@example.org. Lead plaintiff motions for the Nano-X class action lawsuit must be filed with the court no later than November 16, 2020.
Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities class action litigation. With 200 lawyers in 9 offices, Robbins Geller has obtained many of the largest securities class action recoveries in history. For seven consecutive years, ISS Securities Class Action Services has ranked the Firm in its annual SCAS Top 50 Report as one of the top law firms in the world in both amount recovered for shareholders and total number of class action settlements. Robbins Geller attorneys have helped shape the securities laws and have recovered tens of billions of dollars on behalf of aggrieved victims. Beyond securing financial recoveries for defrauded investors, Robbins Geller also specializes in implementing corporate governance reforms, helping to improve the financial markets for investors worldwide. Robbins Geller attorneys are consistently recognized by courts, professional organizations and the media as leading lawyers in the industry.