Invacare Corp., maker of home and long-term care medical products, plunged the most in 27 years after saying U.S. regulators proposed suspending some operations at its headquarters and a wheelchair plant in Ohio.
Invacare sank 29 percent to $14.70 at the close of trading, the biggest single-day decline since Dec. 27, 1984. The Food and Drug Administration proposed a consent decree requiring the work shutdown based on previously disclosed violations found during inspections, the Elyria, Ohio-based company said in a statement. Invacare said it intends to enter into talks with the FDA on the decree.
Operations wouldn’t resume until the FDA concludes Invacare is in compliance, Invacare said. The company said it’s tried to improve compliance processes in the past year with the help of outside medical device consultants.
“Invacare is committed to full compliance with FDA regulations, and it intends to work cooperatively with the FDA to resolve the agency’s concerns,” according to the statement.