GlobeNewswire Inc | Jul 24, 2020 11:23AM EDT

July 24, 2020

NEW YORK, July 24, 2020 (GLOBE NEWSWIRE) -- Zhang Investor Law announces a class action lawsuit on behalf of shareholders who bought shares of Chembio Diagnostics, Inc. (NASDAQ: CEMI) between March 12, 2020 and June 16, 2020, inclusive (the Class Period). The lawsuit seeks to recover damages for investors under the federal securities laws.

If you wish to serve as lead plaintiff, you must move the Court no later than August 17, 2020. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.

To join the class action, http://zhanginvestorlaw.com/join-action-form/?slug=chembio-diagnostics-inc&id=2296 call Sophie Zhang, Esq. toll-free at 800-991-3756 or emailinfo@zhanginvestorlaw.comfor information on the class action.

http://zhanginvestorlaw.com/join-action-form/?slug=chembio-diagnostics-inc&id=2296.

According to the lawsuit, throughout the Class Perioddefendants misrepresented that the Companys Dual Path Platform (DPP) COVID-19 serological point-of-care test for the detection of IgM and IgG antibodies aided in determining current or past exposure to the COVID-19 virus, that its test provided high sensitivity and specificity, and that it was 100% accurate. The Complaint further alleges that on May 11, 2020, defendants took advantage of Chembios inflated stock price, closing a public offering of approximately 2.6 million shares of Chembio stock at $11.75 per share for gross proceeds of approximately $30.8 million. Then, on June 16, 2020, after the market closed, the U.S. Food and Drug Administration issued a press release disclosing that it had revoked the Companys Emergency Use Authorization for the Companys DPP COVID-19 Igm/IgG System due to performance concerns with the accuracy of the test and because data submitted by Chembio as well as an independent evaluation of the Chembio test at NCI showed that this test generates a higher than expected rate of false results and higher than that reflected in the authorized labeling for the device. The complaint alleges, as a result of disclosure by the FDA letter Chembio shares declined precipitously.

Zhang Investor Law represents investors worldwide. Attorney Advertising. Prior results do not guarantee similar outcomes.

Zhang Investor Law P.C. 99 Wall Street, Suite 232 New York, New York 10005info@zhanginvestorlaw.com tel: (800) 991-3756