Penumbra, Inc. designs, develops, manufactures, and markets medical devices. The Company offers peripheral vascular and neurovascular devices that help patients suffering from stroke and other neurovascular diseases.
On November 10, 2020, Quintessential Capital Management issued a research report on the Company entitled “Penumbra and its ‘Killer Catheter’.” In it, the report revealed that “Penumbra’s flagship device, the Jet 7 Xtra Flex, has a structural design flaw that makes it prone to critical malfunctioning” and that the “killer catheter” has already malfunctioned [causing the death] of 17 patients and leaving 35 others with brain injuries.”
On December 8, 2020, Quintessential Capital Management published a damaging report entitled “Is Penumbra’s core scientific research authored by a fake person?.” The report accused Penumbra of having engaged in a multi-year scheme to fraudulently produce a substantial portion of scientific literature using a fake character to support its product marketing to healthcare providers across United States and elsewhere. According to the report, “[the] fraudulent character appears to have been fabricated by management in a reckless attempt to hide its involvement with critical research produced with significant undisclosed conflicts of interest.”
On this news, Penumbra’ stock price fell approximately $16 per share, or 8.3%, during intraday trading on December 8, 2020.
If you are a shareholder of Penumbra and wish to participate, learn more, or discuss the issues surrounding the investigation, please contact our attorneys at (914) 733-7201 or via email at firstname.lastname@example.org.
Whistleblowers: Persons with non-public information regarding Penumbra should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totalling up to 30 percent of any successful recovery made by the SEC.
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