Kirby McInerney LLP Reminds Dentsply Sirona Inc. (XRAY) Investors of Class Action Filing and Encourages Investors to Contact the Firm

New York, New York--(Newsfile Corp. - December 13, 2024) - The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Southern District of New York on behalf of those who acquired Dentsply Sirona Inc. ("Dentsply" or the "Company") (NASDAQ: XRAY) securities during the period from November 1, 2022 through and including November 6, 2024 ("the Class Period"). Investors have until January 27, 2024, to apply to the Court to be appointed as lead plaintiff in the lawsuit.

[Click here to learn more about the class action]

Prior to the start of the Class Period, on December 21, 2020, Dentsply paid $1.04 billion in cash to acquire Byte, a manufacturer of affordable, "doctor-directed," direct-to-consumer ("DTC") clear dental aligners.

On October 24, 2024, after markets closed, Dentsply announced the "voluntary suspension of sales and marketing of its Byte Aligners and Impression Kits while the Company conducts a review of certain regulatory requirements related to these products." In a current report filed with the SEC on Form 8-K after markets closed, Dentsply claimed that the Byte sales and marketing suspension was a precautionary measure. Dentsply further disclosed in the same current report that it "expects to record non-cash charges for the impairment of goodwill within the range of $450-550 million for its Orthodontic and Implant Solutions segment", with the decline being driven "primarily by adverse impacts from recent state regulatory trends" pertaining to the Company's DTC aligner business. Then, on October 25, 2024, during a "Byte business update call" before markets opened, CEO Simon Campion gave more context about the Byte suspension: "In connection with our ongoing discussions with FDA, we will have determined that our patient onboarding workflow may not provide adequate reassurance that certain contraindicated patients do not enter treatment with Byte Aligners." As a result of this news, the price of Dentsply shares declined by $1.10 per share, from $24.41 per share on October 24, 2024, to close at $23.31 on October 25, 2024.

On November 7, 2024, Dentsply disclosed in a press release that it had "recorded a non-cash charge for the impairment of goodwill of ($495) million net of tax within the Orthodontic and Implant Solution segment." Later that day, Campion explained that although Dentsply was "not at a point in our analysis to make a definitive decision concerning Byte," the Company was "thoroughly evaluating strategies options, which may include a discontinuation of some or all of this business." Campion further added "I just keep in mind the Byte business is having a large impact on our fourth quarter forecast". On this news, the price of Dentsply shares declined by $6.72 per share, or approximately 28%, from $23.98 per share on November 6, 2024, to close at $17.26 per share on November 7, 2024.