Citron Research Calls on Japan’s Securities and Exchange Surveillance Commission to Immediately Initiate Investigation of Cyberdyne CEO For Materially Misleading Claims
Cyberdyne Is Intentionally Misleading Investors
Citron Reiterates 300¥ Target Price for Shares
Japan’s SESC should immediately investigate statements that are being made on the Cyberdyne (TYO:7779) website by its CEO for the purpose of deceiving investors.
The Lies Continue Cyberdyne (TYO:7779) came out with a response to Citron’s story. Sadly, management continues its attempt to confuse investors. Cyberdyne is lying about what the links state in the rebuttal they posted. http://www.cyberdyne.jp/company/download/20160819_tekijikaiji_en.pdf Cyberdyne compares ReWalk and EksoBionics FDA de novo application times to approvals (12 and 15 months) with their own 510(K) (simpler) FDA approval process, which has been now bumping along for over 14 months. Instead the should be comparing THE SAME application which we clearly show that Rewalk and Ekso received their 510(K) approvals in 3.5 and 2.5 months. The FDA states that their official guideline is to reply to 510(K) applications within 90 days, and their average approval is 5 months. So again, something unexplained is definitely going on over at Cyberdyne — their 14 month 510(K) application is definitely unusual, and should be compared to the timespans above. As for their product being new and unlike any other technology, you cannot have it both ways. The fact that they filed a 510(k) approval says it all. According to the FDA a 510(k) is for a device that is “substantially equivalent”
Any hope of them stating they have a new device went away when they switched their application from de novo.
But who cares if they do get 510(k) approval? Both of there US competitors have de novo AND 510(K) approvals, yet have market caps of $90 mil U.S. (1/40th the market cap of Cyberdyne) Yes that is correct 1/40th! This shows that even with FDA approval, Cyberdyne will go down to 300¥ per share. How has HAL sold in Japan or Germany? It is time for management to start being accountable to the many years of empty promises they have made to investors.
We will see you at 300¥.
Cautious Investing to All
See the rest of the report in the PDF