Premier Laser Puts Plans to Purchase OIS on Hold

Premier Laser Systems Inc., which is awaiting re-audited statements from its accounting firm, halted plans Friday to buy the remaining 49% stake of Sacramento-based OIS by next week.

A spokesman for the troubled Irvine maker of dental and medical lasers said it was simply postponing its purchase of OIS, in which it already holds a controlling 51% stake. Owen Daley, the spokesman, said Premier Laser needs to obtain solid financial statements from its auditor, Haskell & White LLP, before it can proceed with the deal.

Daley emphasized, however, that the company is actively in business. He noted that it is preparing to launch its first consumer-directed advertising campaign within two weeks. He debunked rumors, which he blamed on competitors’ salespeople, that the company is out of business.

Premier, which drew national attention last year when regulators approved its dental laser to treat tooth decay, has stumbled repeatedly this year. In April, it said a dispute with a distributor could cause it to lower revenue by $7 million for the second half of its fiscal year. In May, its auditor, Ernst & Young, resigned.

In June, it announced it would record a $5-million inventory charge in the fiscal fourth quarter. Last month, its stock was delisted by Nasdaq.

Daley said the company expects to take ads in major newspapers in selected markets including Southern California and New York to build awareness for laser dentistry in general and Premier’s products in particular.