Class Action Lawsuit Filed Against Biogen Inc. for Misleading Statements About Business OperationsClass Action Lawsuit Filed Against Biogen Inc. for Misleading Statements About Business Operations RADNOR, Pa., June 29, 2024 (GLOBE NEWSWIRE) > A class action lawsuit has been filed in the United States District Court for the District of Colorado against Biogen Inc. (NASDAQ: BIIB) for allegedly violating federal securities laws. The lawsuit accuses Biogen of making false and misleading statements about its business operations, prospects, and compliance policies. Alleged Misconduct According to the complaint, Biogen overstated its efforts to improve transparency, corporate governance, and compliance controls. The company also allegedly engaged in illegal or improper conduct in various countries, exposing it to increased risk of regulatory enforcement and reputational damage. Misleading Statements Throughout the class period (February 3, 2022, to February 14, 2024), Biogen made materially false and misleading statements about: * The strength of its Alzheimer’s disease product portfolio * The impact of the Reata acquisition on earnings per share * The company’s overall financial performance Impact on Stock Price These misleading statements artificially inflated Biogen’s stock price. However, as the truth emerged through disclosures in November 2023 and February 2024, the stock price plummeted, causing significant losses to investors. Call to Action Biogen investors who have suffered losses are encouraged to contact Kessler Topaz Meltzer & Check, LLP for more information. The deadline to seek appointment as lead plaintiff is July 22, 2024. About Kessler Topaz Meltzer & Check, LLP Kessler Topaz Meltzer & Check, LLP is a global law firm dedicated to protecting investors from fraud and other misconduct. The firm has a proven track record of recovering billions of dollars for its clients. Contact Information Kessler Topaz Meltzer & Check, LLP Jonathan Naji, Esq. (484) 270-1453 [email protected] https://www.ktmc.com/new-cases/biogen-inc-1?utm_source=PR&utm_medium=link&utm_campaign=biib&mktm=r
RADNOR, Pa., June 29, 2024 (GLOBE NEWSWIRE) — The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a class action lawsuit has been filed in the United States District Court for the District Colorado v. Biogen Inc. (“Biogen”) (NASDAQ: BIIB). The action accuses Biogen of violations of the federal securities laws, including omissions and fraudulent misrepresentations regarding the company’s business, operations and prospects. As a result of Biogen’s materially misleading statements and omissions to the public, Biogen’s investors have suffered significant losses.
If you have suffered Biogen losses, you can CLICK HERE or go to: https://www.ktmc.com/new-cases/biogen-inc-1?utm_source=PR&utm_medium=link&utm_campaign=biib&mktm=r
You may also contact attorney Jonathan Naji, Esq. of Kessler Topaz by calling (484) 270-1453 or by email at [email protected]. The lead plaintiff deadline is July 22, 2024.
ALLEGED misconduct by defendants
The Class Period begins on February 3, 2022, when Biogen issued a press release announcing the company’s Q4 and FY 2021 results. In the press release, the company stated that “despite the challenges we have faced, it continued to perform well in (Q4)” and that “(w)e introduced the first FDA-approved treatment for (Alzheimer’s disease) in nearly 20 years, and we are working with the Centers for Medicare and Medicaid Services in hopes of finding a path to immediate patient access.”
Throughout the Class Period, Defendants made materially false and misleading statements about the Company’s business, operations, and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Biogen overstated its efforts to improve its transparency, corporate governance, and compliance controls and procedures, as well as the effectiveness of those controls and procedures ; (2) Biogen accordingly maintained inadequate compliance controls and procedures in connection with its business operations abroad; (3) Biogen and/or its employees engaged in illegal or otherwise improper conduct in various countries; (4) the foregoing exposed the Company to increased risk of governmental and/or regulatory enforcement action, as well as significant legal, financial, and reputational harm; (5) Biogen overestimated the strength of its Alzheimer’s disease-related product portfolio, including the Company’s and Eisai’s efforts and success in launching and providing access to Leqembi; (6) Biogen also downplayed the negative impact the Reata acquisition would have on its non-GAAP diluted earnings per share for fiscal 2023; (7) all of the foregoing would likely have a significant adverse effect on Biogen’s 2023 results; and (8) as a result, the Company’s public statements were materially false and misleading at all relevant times. The truth began to emerge on November 8, 2023, when Biogen negatively revised its non-GAAP diluted earnings per share for fiscal 2023 to a range of $14.50 to $15.00 per share, significantly lower than its prior guidance. non-GAAP diluted earnings per share for fiscal 2023. from $15.00 to $16.00 per share, citing approximately $0.75 dilution due to the Reata acquisition. On this news, the price of Biogen stock fell by $13.92 per share, to close at $231.69 per share on November 8, 2023.
After several additional disclosures in January 2024 and early February 2024, which were followed by a decline in Biogen’s stock price, the final truth was revealed on February 14, 2024, when Biogen disclosed in an SEC filing that it had received a subpoena from the DOJ “seeking information relating to (Biogen’s) business activities in various foreign countries” and that “(the) Company is also providing information relating to (its) business activities in various foreign countries to the SEC.” This news caused Biogen’s stock price to decline by $5.91 per share, or 2.61%, to close at $220.74 per share on February 14, 2024.
WHAT CAN I DO?
Biogen investors can, no later than July 22, 2024, seek appointment as lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, LLP or other counsel, or may choose to do nothing and remain an absent member of the class. Kessler Topaz Meltzer & Check, LLP encourages Biogen investors who have suffered significant losses to contact the company directly for more information. The class action complaint against Biogen, Gray v. Biogen Inc., et al., Case No. 24-cv-01444 is filed in the United States District Court for the District of Colorado.
CLICK HERE REGISTER FOR THE CASE or go to: https://www.ktmc.com/new-cases/biogen-inc-1?utm_source=PR&utm_medium=link&utm_campaign=biib&mktm=r
WHO CAN BE LEAD PLAINTIFF?
A lead plaintiff is a representative party acting on behalf of all class members in directing the litigation. The lead plaintiff is generally the investor or small group of investors that has the greatest financial interest and is also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class, and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not affected by the decision whether or not to serve as lead plaintiff.
ABOUT KESSLER TOPAZ MELTZER & CHECK, LLP
Kessler Topaz Meltzer & Check, LLP prosecutes class actions in state and federal courts across the country and around the world. The company has built a global reputation for excellence and has recovered billions of dollars for victims of fraud and other corporate misconduct. All of our work is driven by a common purpose: to protect investors, consumers, employees and others from fraud, abuse, misconduct and negligence by companies and fiduciaries. The complaint in this case was not filed by Kessler Topaz Meltzer & Check, LLP. For more information about Kessler Topaz Meltzer & Check, LLP, visit www.ktmc.com.
CONTACT:
Kessler Topaz Meltzer & Check, LLP
Jonathan Naji, Esq.
(484) 270-1453
280 King of Prussia Road
Radnor, PA 19087
[email protected]
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