NEWTOWN,
Pa., July 12, 2024 /PRNewswire/ --
Edelson Lechtzin LLP, a leading class action law firm, reminds
investors about the impending deadline to seek appointment as lead
plaintiff in the securities fraud class action lawsuit
against SeaStar Medical Holding Corporation (NASDAQ: ICU). If you
purchased SeaStar Medical Holding Corporation common stock between
October 31, 2022, and March 26, 2024, inclusive (the "Class Period")
and lost more than $10,000 on your
investment, you should consider seeking a leadership position in
this case.
To be considered for a lead plaintiff role, a SeaStar investor
must file a motion in the U.S. District Court for the District of
Colorado, no later than
September 6, 2024. Please
contact Edelson Lechtzin LLP to discuss your investment losses, at
844-696-7492 or by e-mail at
elechtzin@edelson-law.com. You can also submit your trading
information online HERE.
Background on SeaStar Medical Holding
Corporation.
Headquartered in Denver,
Colorado, SeaStar is a medical device company that develops
Selective Cytopheretic Device (SCD) therapies to reduce
hyperinflammation's impact on vital organs and treat
infections.
The Securities Fraud Claims
On April 22, 2022, SeaStar
Medical, Inc. ("Legacy SeaStar") announced a merger agreement with
a SPAC. The new entity, SeaStar Medical Holding Corporation, would
retain Legacy SeaStar's management team, and all existing shares of
Legacy SeaStar would convert to Class A Common Stock of the new
company.
On July 20, 2022, Legacy SeaStar
announced that it had applied under the HDE (the "HDE Application")
to the FDA for the use of Legacy SeaStar's SCD for critically ill
children with acute kidney injury ("AKI").
Throughout the Class Period, the Complaint alleges
that Defendants made materially false and misleading statements
regarding the Company's business and operations, including that:
(i) Legacy SeaStar and SeaStar had deficient compliance controls
and procedures related to the HDE Application; (ii) there were
deficiencies with the HDE Application, the FDA was unlikely to
approve the HDE Application in its present form, and the SCD's
regulatory prospects were overstated; (iii) the Company had
downplayed the scope and severity of deficiencies in its financial
controls and procedures while overstating their efforts to
remediate the same; (iv) SeaStar had failed to properly account for
the classification of certain outstanding warrants and the Prepaid
Forward Agreement; (v) as a result, SeaStar was likely to restate
one or more of its previously issued financial statements; and (vi)
SeaStar's post-Merger business and financial prospects were
overstated.
On May 9, 2023, SeaStar's HDE
application for pediatric SCD was rejected by the FDA. On this
news, SeaStar's stock price fell $0.77 per share, or 39.69%, to close at
$1.17 per share on May 10, 2023.
SeaStar then announced a restatement of its financial statements
for the fiscal year ended December 31,
2022, and for the quarters ended March 31, 2023, June 30,
2023, and September 30, 2023.
The restatement affects the accounting of warrants and the Prepaid
Forward Agreement due to the complex financial instruments used to
take the Company public. On this news, SeaStar's stock price fell
approximately $0.04 per share, or
4.84%, to close at approximately $0.71 per share on March
27, 2024.
For more information, please contact:
Marc H. Edelson, Esq.
Eric Lechtzin, Esq.
EDELSON LECHTZIN LLP
411 S. State Street, Suite N-300
Newtown, PA 18940
Phone: 844-696-7492 or 215-867-2399 ext. 1
Email: medelson@edelson-law.com
Email: elechtzin@edelson-law.com
Web: www.edelson-law.com
Edelson Lechtzin LLP is a leading class action law firm with
offices in Pennsylvania and
California. In addition to cases
involving securities and investment fraud, our lawyers
focus on class and collective litigation in cases alleging
violations of the federal antitrust laws, employee benefit plans
under ERISA, wage theft and unpaid overtime, consumer
fraud, and dangerous and defective drugs and medical
devices.
This press release may be considered Attorney Advertising in
some jurisdictions. No class has been certified in this case, so
you are not represented by counsel unless you retain one. You may
select counsel of your choice. You may also remain an absent class
member and do nothing at this point. Your ability to share in any
potential future recovery is not dependent upon serving as lead
plaintiff.
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SOURCE Edelson Lechtzin LLP