Levi & Korsinsky Notifies Dentsply Sirona Inc. Investors of a Class Action Lawsuit and Upcoming Deadline – XRAY

Key Takeaways:

• Dentsply Sirona is facing a class action lawsuit alleging securities fraud.
• Allegations involve concealment of severe patient injuries from Byte aligners.
• The company allegedly failed to report these injuries to the FDA as required.
• Dentsply is accused of overstating the goodwill value of Byte.
• Investors have until January 27, 2025, to request lead plaintiff status.

Dentsply Sirona Faces Class Action Over Byte Aligner Allegations

Investors Allege Concealment of Patient Injuries and Securities Fraud

Levi & Korsinsky, LLP has notified investors of Dentsply Sirona Inc. (NASDAQ: XRAY) about a class action securities lawsuit that alleges the company engaged in securities fraud by concealing critical information regarding its Byte aligners. The lawsuit seeks to recover losses for investors adversely affected between May 6, 2021, and November 6, 2024.

Allegations Surrounding Byte Aligners

The complaint asserts that Dentsply targeted low-income individuals lacking access to comprehensive dental care for its Byte direct-to-consumer aligner solution. This approach allegedly resulted in patients with underlying dental issues receiving treatment, despite being contraindicated. According to the lawsuit, the drive for Byte’s growth and sales commissions incentivized employees to sell to ineligible patients.

Reports of Byte patient injuries allegedly surged, with the company accused of doing little to investigate or address these concerns. “Dentsply knew that its Byte aligners were causing severe patient injuries for years but did little to investigate those injuries or notify the FDA,” the complaint states.

Failure to Notify the FDA

Regulatory compliance is a central issue in the lawsuit. Dentsply is accused of failing to establish systems to notify the U.S. Food and Drug Administration (FDA) of the reported injuries, a requirement within 30 days of learning about such problems. The complaint highlights that “the FDA had received a sharp uptick in reports of serious injuries from Byte patients,” suggesting that the company’s alleged inaction had broader implications for patient safety.

Overstated Goodwill and Investor Impact

The lawsuit further alleges that Dentsply materially overstated the goodwill value of Byte, potentially misleading investors about the company’s financial health. As a result, investors claim that the company’s positive statements about its business operations and prospects were materially false and lacked a reasonable basis during the relevant times.

Investor Action and Upcoming Deadline

Investors who purchased Dentsply securities during the specified period may be entitled to compensation without any out-of-pocket costs or fees. Levi & Korsinsky encourages affected investors to consider seeking lead plaintiff status in the class action lawsuit. The deadline to request this status is January 27, 2025.

“There is no cost or obligation to participate,” the firm noted. “Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.”

About Levi & Korsinsky, LLP

Levi & Korsinsky is a national law firm specializing in representing investors in complex securities litigation. With over 20 years of experience, the firm has secured hundreds of millions of dollars for aggrieved shareholders. Recognized for its expertise, Levi & Korsinsky has ranked in ISS Securities Class Action Services’ Top 50 Report as one of the top securities litigation firms in the United States for seven consecutive years.

For more information, investors may contact:

Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 17th Floor
New York, NY 10004
Email:

Disclaimer: This article is based on information from a press release by Levi & Korsinsky, LLP and is intended for informational purposes only. Investors should consult their own advisors before making any investment decisions.