nuvasive next alpha tech knockoff and sec filings

Is nuvassive next???

An investor in Alphatec Holdings filed a lawsuit in the United States District Court for the Southern District of California on behalf of purchasers of the common stock of Alphatec Holdings, Inc. (NASDAQ:ATEC) during the period from December 18, 2009 through August 5, 2010, alleging violations of the federal securities laws by Alphatec Holdings.

Alphatec Holdings, Inc., located in Carlsbad, California, is a medical technology company focused on the design, development, manufacturing and marketing of products for the surgical treatment of spine disorders. According to the complaint the plaintiff alleges that Alphatec Holdings and certain of its officers, directors and controlling persons violated federal securities laws. The Complaint alleges that on December 17, 2009, Alphatec Holdings announced that it was going to acquire Scient'x, S.A. from HealthPointCapital Partners, L.P. and HealthPointCapital Partners II, L.P., which then owned 38% of Alphatec Holdings’s (ATEC) shares, in an all stock transaction. With respect to the proposed transaction, Alphatec Holdings announced that it expected 2010 pro forma full-year revenue of $220 million to $225 million, and adjusted EBITDA of $32 million to $35 million(the "Aggressive Projection"). On this news, so the lawsuit, Alphatec Holdings shares (ATEC) rose 8%. ATEC reiterated the Aggressive Projection on February 23, 2010, April 12, 2010 and May 10, 2010. As further alleged in the Complaint, these statements were made to increase interest in ATEC's stock, so that Alphatec Holdings and HealthPointCapital could sell off a significant number of their Alphatec Holdings shares (ATEC) at the highest price possible in an upcoming offering.

On Aril 12, 2010, Alphatec Holdings announced Alphatec Holdings and HealthPointCapital will sell 16 million shares of common stock at $5 per share in a public offering. The offering closed on April 21, 2010 and, with over-allotments, Alphatec Holdings and HealthPointCapital each sold 9.2 million shares, for $46 million in gross proceeds.

Before the offering Alphatec Holdings shares traded at roughly $4-5 per share, but increased after the offering to its 52weekHigh. Shares of Alphatec Holdings traded as high as $7.32 per share in April 2010. While Alphatec’s revenue increased over the past four years from $74million in 2006, to $80.03million in 2007, to $101.31million in 2008, and to $132.16million in 2009, Alphatec Holdings had to report a Net Loss in the past four years. Alphatec Holdings reported a Net Loss of $25.82million in 2006, $20.20million Net Loss in 2007, $29.29million Net Loss in 2008, and a Net loss in 2009 of $13.29million.

Then On August 5 2010, after the close of trading, Alphatec Holdings reported its financial results for the quarter ended June 30, 2010. Among other things, Alphatec Holdings reported a loss of $0.04 per share, while analysts reportedly expect Alphatec Holdings to report a profit.
Further, Alphatec Holdings revised its revenue forecast for 2010. Alphatec Holdings now expects to report $177 million to $182 million in revenue this year, down from a prior forecast of $208 million to $213 million. The new outlook is well below analysts’ average forecast of $206.9 million.

Following the announcement on August 6, 2010, Alphatec shares declined to a 52-week low or approximately $2.03 per share, a decline of approximately 46%. Shares of Alphatec Holdings (ATEC) declined from $4.42 per share on August 5, 2010 to as low as $2.39 per share on Friday August 06, 2010.
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Reps are all distributors or 1099. Nothing wrong with that, but everything they have is a knockoff of everyone minus xlif which is better a marketing tool than helping patients. No wonder mdt sues them in 2009 as well.

They will survive until doj looks into distributors of nuvasive

Keep cooking the books!

 

Got a question for anyone in the know. I have noticed that a handful of Nuvasive reps and some senior managers have left and gone to DePuy Spine recently....what’s going on over there that’s so attractive?

 

Depuy has good bread and butter products. Nuvasive is a one trick pony that just cut their commission rates. And...nuvasives flagship product..xlif, has some problems as we move into the new era of healthcare. namely , un-reimbursable neuro-monitoring, and over-priced procedures. Other companies have developed similiar systems that use monitoring the hospital has in place, allowing for cheaper procedures and re-imbursable costs. Best case scenarion, nuvasive will have to drop their prices.

sell your nuvasive stock.

 

I have seen plenty of XLIF cases with difficulties..Cages breaking during implantation. The issue is that none of these cases get reported to FDA. Injuries to patients...no report! Oh and who said that you can't buy gifts for surgeons? Nuvasive reps are above that law!?!?!? I am tired of Nuvasive and their reps. Over-priced products that get very little reimbursement. Anyone think they will get caught up to on their ways?

 

Yes they will be caught up to. When some patient who got an XLIF and it jacked them up.....ends up choking down a bottle of narcotics so they can get up and go kill the pricks pushing the XLIF as safe.