NEW YORK, May 1, 2009 (GLOBE NEWSWIRE) -- The Brualdi Law Firm, P.C. announces that a lawsuit has been commenced in the United States District Court for the Southern District of California on behalf of purchasers of Sequenom, Inc. ("Sequenom") (Nasdaq:SQNM) common stock during the period between June 4, 2008 and April 29, 2009 (the "Class Period") for violations of the federal securities laws.
No class has yet been certified in the above action. Until a class is certified, you are not represented by counsel unless you retain one. If you purchased Sequenom common stock during the Class Period, and wish to move the court for appointment of lead plaintiff, you must do so within 60 days of May 1, 2009. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the Company during the Class Period. You do not need to seek appointment as a lead plaintiff in order to share in any recovery.
To be a member of the class you need not take any action at this time, and you may retain counsel of your choice. If you wish to discuss this action or have any questions concerning this Notice or your rights or interests with respect to these matters, please contact Sue Lee at The Brualdi Law Firm, P.C. 29 Broadway, Suite 2400, New York, New York 10006, by telephone toll free at (877) 495-1187 or (212) 952-0602, by email to slee@brualdilawfirm.com or visit our website at http://www.brualdilawfirm.com.
The Complaint alleges defendants failed to disclose that Sequenom employees mishandled test data and results regarding the Down syndrome test. As a result of defendants' false and misleading statements, Sequenom stock traded at artificially inflated prices during the Class Period, reaching a high of $27.76 per share on September 24, 2008. This inflated stock price permitted Sequenom to raise $92 million in a secondary stock offering in July 2008, acquire a diagnostic company for fewer shares of Sequenom stock than would have been necessary absent the inflation, and commence a tender offer for another company in an all-stock transaction.
On April 29, 2009, after the market closed, the Company issued a press release announcing that the expected launch of its Down syndrome test would be delayed due to the discovery by Company officials of employee mishandling of research and development test data and results. As a result, the Company could no longer rely on the previously announced test data and results. On this news, Sequenom's stock collapsed over $11 per share to as low as $3.23 per share, a one-day decline of more than 75%, on volume of more than 85 million shares.