Daxor Corporation Addresses and Corrects Erroneous Seeking Alpha Healthcare News Editor Article of March 20, 2019
March 21 2019 - 8:30AM
Author incorrectly claimed, “The company's sole
product is a blood volume analyzer called the BVA-100 but there
does not appear to be any sales to date.”
Daxor Corporation
(NYSE MKT: DXR) an investment
company with innovative medical instrumentation and biotechnology
operations focused on blood volume measurement today addressed and
corrected an erroneous and misleading article published March 20,
2019, at 12:09pm eastern time on Seeking Alpha.com by Douglas W.
House, Seeking Alpha News Editor, in which Mr. House erroneously
stated, “Thinly traded nano cap Daxor (DXR -11.3%) is down on 50%
higher volume, albeit on turnover of only 88K shares, following
yesterday's corporate overview at the ROTH Conference in Southern
California. The company's sole product is a blood volume analyzer
called the BVA-100 but there does not appear to be any sales to
date.”
Upon learning of Mr. House’s and Seeking Alpha’s
publishing of this erroneous article and misstatements, Daxor
contacted the editor to demand a retraction and correction that
Daxor has one product, and moreover that it has generated no sales
to date. Seeking Alpha promptly retracted the erroneous statements,
following the market close, regarding products and revenues,
however, as of March 20, 2019 at 7:30pm eastern time, Seeking Alpha
had not issued a correction clarifying the facts about Daxor’s
substantial sales of both its BVA-100® Blood Volume Analyzer, an
FDA cleared, patented instrument that rapidly and accurately
measures human total blood volume, plasma volume and red cell
volume and Daxor’s, Volumex®, a single-use radiopharmaceutical
diagnostic injection and collection kit which have been used in
conducting Blood Volume Analysis tests on over 40,000 patients, in
over 65 Hospitals since its introduction and which represent strong
recurring revenue as Daxor executes its Razor (Instrument)/
RazorBlade (Test Kits) business model and earns additional income
from related lab services and maintenance contracts. Moreover, the
BVA-100® is reimbursed by Medicare and private insurers in both the
inpatient and outpatient settings. Daxor owns and operates the
Daxor Oak Ridge Operations (DORO) facility in Oak Ridge, Tennessee,
which manufactures, tests, and develops next-generation models of
the BVA-100®.
These facts, among many others, are stated
explicitly and are readily available on Daxor’s corporate website,
available on filings posted with the SEC since the product’s
introduction in 2001, and were among information presented at the
31st Annual Roth Conference on March 19, 2019, including but not
limited to the many clinical treatment and life savings benefits
promoted by Daxor’s groundbreaking and innovative products, as well
as the company’s growth strategies, recent developments and
business operations. Of interest, Daxor also disclosed previously
reported test kit sales growth, where for two years in a row,
Daxor’s kit sales have risen over 18 percent year- over -year, in
cardiology use, driven by increasing awareness of the value of
blood volume analysis to improve heart failure outcomes through
reduced mortality and reduced readmissions.
Among the many positive facets and facts the
author failed to mention in his article include the fact that in
the U.S., 6 million patients per year are treated for heart failure
(HF) and poor treatment algorithms are leading to widespread losses
among hospitals and related groups. Approximately 10% of all
emergency room admissions are HF-related losses incurred by this
patient set. For HF admissions, 75% come through the ED presenting
an opportunity for early optimal treatment and reduced LOS.
Significant reduction in 30-day readmission and mortality has been
proven through guided treatment with Blood Volume Analysis (BVA)
for HF. The BVA-100® has a critical role in determining outpatient
vs. inpatient designation, optimal coding, and significantly
reducing LOS helping to avoid going beyond breakeven point for
hospitals DRG reimbursement. BVA significantly reduces ICU
mortality by as much as 3x and LOS by 20% for patients with Sepsis.
Daxor provides actionable results: BVA improves the ICU team-- 44%
of tests led to a change in strategy.
Daxor was contacted by NYSE Marketwatch when
aberrant trading in its shares was detected during the afternoon of
the 20th and has been working with it and other regulatory
authorities to evaluate the impact of this unfortunate and
disturbing event and address any recourse that may be appropriate.
The company has also consulted with legal counsel to determine the
most appropriate courses of action to take, if any, to address the
harm that has been inflicted upon Daxor’s business reputation,
operations, shareholders, valuation, investment conditions and the
like.
Daxor urges investors and prospective investors
alike to rely upon its periodic disclosures with the SEC and its
press releases for the most up to date information on the
company.
About Daxor Corporation
Daxor Corporation is an innovative medical
instrumentation and biotechnology company. We manufacture the
BVA-100 Blood Volume Analyzer, the first instrument cleared by the
FDA to provide rapid direct measurement of a patient’s blood
volume. We believe that the BVA-100 Blood Volume Analyzer has the
potential to transform therapy in a broad range of surgical and
medical conditions. It is our goal, working in conjunction with
hospitals and clinics, to achieve that possibility. Ultimately the
company’s mission is to help hospitals and physicians incorporate
Daxor’s BVA-100 diagnostic into standard clinical practice. For
more information please visit our website at
http://www.daxor.com.
Forward-Looking Statements
Certain statements in this release may include
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995, including without
limitation, statements regarding the impact of hiring sales staff
and expansion of our distribution channels. Forward-looking
statements are predictions, projections and other statements about
future events that are based on current expectations and
assumptions and, as a result, are subject to risks and
uncertainties. Many factors could cause actual future events to
differ materially from the forward-looking statements in this
release, including, without limitation, those risk associated with
our post-market clinical data collection activities, benefits of
our products to patients, our expectations with respect to product
development and commercialization efforts, our ability to increase
market and physician acceptance of our products, potentially
competitive product offerings, intellectual property protection,
FDA regulatory actions, our ability to integrate acquired
businesses, our expectations regarding anticipated synergies with
and benefits from acquired businesses, and additional other risks
and uncertainties described in our filings with the SEC.
Forward-looking statements speak only as of the date when made.
Daxor does not assume any obligation to publicly update or revise
any forward-looking statements, whether as a result of new
information, future events or otherwise.
Contact Information:
Investor Relations Contact:Bret ShapiroSr. Managing PartnerCORE
IR561-479-8566brets@coreir.com
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