July 7, 2017 (Shareholders Foundation) - An investor in shares of Avinger Inc (NASDAQ:AVGR) filed a lawsuit in the U.S. District Court for the Northern District of California over alleged violations of Federal Securities Laws by Avinger Inc in connection with certain allegedly false and misleading statements made in connection with Avinger’s initial public offering (“IPO”).

According to the complaint the plaintiff alleges on behalf of investors of Avinger Inc (NASDAQ:AVGR), who purchased or otherwise acquired Avinger’s stock pursuant or traceable to its January 30, 2015 IPO, that the defendants violated Federal Securities Laws.

Redwood City, CA based Avinger, Inc. is a commercial-stage medical device company that designs, manufactures and sells image-guided, catheter-based systems that are used by physicians to treat patients with peripheral arterial disease (PAD) . On January 30, 2015, Avinger Inc held its initial public offering (“IPO”) at $13 per share. Avinger Inc reported that its annual Total Revenue increased $10.71 million in 2015 to $19.21 million in 2016 and that its Net Loss increased from $47.34 million in 2015 to $56.13 million in 2016. Shares of Avinger Inc (NASDAQ:AVGR) declined from as high as $22.99 per share in December 2015 to as low as $0.45 per share on May 5, 2017.

The plaintiff claims that the IPO Registration Statement and Prospectus materially and falsely failed to disclose that Avinger lacked adequate personnel to increase sales of its lumivascular-platform products and to commercialize Pantheris, that Avinger experienced problems with the robustness of its lumivascular-platform devices (including Pantheris), that physicians and hospitals were requiring more extensive training concerning Avinger’s products as compared to competing products, that Avinger would not be able to rapidly ramp up sales of its lumivascular platform, and that as a result, Avinger experienced lower than expected sales and revenues.