NEW YORK, Feb. 16, 2018 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Obalon Therapeutics, Inc. (“Obalon” or the “Company”) (NASDAQ:OBLN) in the United States District Court for the Southern District of California on behalf of a class consisting of investors who purchased or otherwise acquired Obalon securities on the open market from October 5, 2016 through January 23, 2018, inclusive (the “Class Period”), seeking to recover compensable damages caused by Defendants’ violations of the Securities Exchange Act of 1934.

The Complaint alleges Defendants made materially false and/or misleading statements and/or failed to disclose that: (1) the Company recognized revenue in violation of Generally Accepted Accounting Principles; (2) the Company lacked adequate internal controls over accounting and financial reporting; and (3) as a result, Defendants’ statements about the Company’s business, operations, and prospects were materially false and misleading at all relevant times.

Investors who purchased or otherwise acquired shares during the Class Period should contact the Firm prior to the April 16, 2018 lead plaintiff motion deadline.  A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.  If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.

Please visit our website at http://www.gme-law.com for more information about the firm.

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