WeissLaw LLP Announces A Lawsuit Against PolarityTE, Inc.

NEW YORK, June 28, 2018 /PRNewswire/ -- WeissLaw LLP, a national class action and shareholders' rights law firm with offices in New York, Georgia, and Los Angeles, announces that a class action lawsuit has been filed on behalf of all persons or entities who purchased shares of PolartiyTE, Inc. ("COOL," or the "Company") securities between March 31, 2017 and June 25, 2018, both dates inclusive. 

On June 25, 2018, Citron Research published a report alleging a "[h]istory of [f]raud" by the Company, and urging the SEC to "halt this stock immediately before insiders are allowed to enrich themselves even more as the [C]ompany continues to deceive investors."  According to the report, COOL has and continues to make false representation in connection with its SkinTE patent, application #14/954,335. 

Patent application #14/954,335 was acquired on April 7, 2017 from Dr. Denver Lough, the Company's Chief Scientific Officer and Chairman of the Board of Directors, for approximately $104 million in COOL stocks.  According to Citron Research, on that same day, the US Patent Trademark Office mailed to Dr. Lough a letter indicating the non-final rejection of his patent which the Company failed to disclose to its public shareholders.  In fact, the Company continued to raise money, filing with the SEC on May 29, 2018 a Form S-8 to allow for the sale of approximately 5.5 million more shares of the Company's common stock. 

On June 4, 2018, a final rejection letter for patent application #14/954,335 was issued to the Company.  On that same day, without disclosing any issues relating to the patent application, COOL announced the offering of 2.1 million shares. 

COOL's stock has lost nearly a quarter of its value since June 25, with shares trading for as low as $21.73. 

The complaint alleges that COOL, at all relevant times, made false and materially misleading statements and failed to disclose material information relating to patent application #14/954,335.   

If you are a COOL shareholder and wish to discuss this action, any questions concerning this notice, your rights or interests, please contact Joshua Rubin of WeissLaw LLP at 888.593.4771, or by e-mail at [e-mail].  You must you must move the Court not later than August 27, 2018 to serve as lead plaintiff.

WeissLaw LLP has litigated hundreds of stockholder class and derivative actions for violations of corporate and fiduciary duties.  We have recovered over a billion dollars for defrauded clients.  For more information about the firm, please go to: http://www.weisslawllp.com/polarityte-inc/

 

 

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SOURCE WeissLaw LLP

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