EAGLE PHARMACEUTICALS – Twersky Law Group, a highly regarded and reputable law firm based in New York, wishes to inform investors about a significant development in the form of a class action lawsuit against Eagle Pharmaceuticals, Inc. (“Eagle Pharmaceuticals” or “the Company”) (NASDAQ: EGRX) and certain officers of the company. This lawsuit has been filed on behalf of all individuals and entities that purchased or otherwise acquired Eagle Pharmaceuticals securities from August 8, 2023 through November 28, 2023 (the “Class Period”). Investors who acquired Eagle Pharmaceuticals securities during this defined timeframe are strongly encouraged to participate in this case by contacting email@example.com. The deadline to file a motion for appointment of lead plaintiff is February 9, 2024.
The fundamental objective of this class action lawsuit is to recover for the benefit of investors who purchased Eagle Pharmaceuticals securities during the Class Period, the losses they sustained as a consequence of the misleading statements made by Defendants in violation of the federal securities laws.
ALLEGATIONS AGAINST EAGLE PHARMACEUTICALS
On November 9, 2023, before the market opened, Eagle Pharmaceuticals announced that it would not release its third quarter 2023 results that day (as had been expected) because the Company “requires more time to review potential adjustments relating to the reporting of sales of PEMFEXY prior to filing its Form 10-Q.” The Company also disclosed it “expects to revise its previously disclosed 2023 full year guidance downward.” On this news, the Company’s stock price fell $4.16, or 30.4%, to close at $9.54 per share on November 9, 2023, on unusually heavy trading volume. After the market closed on November 9, 2023, the Company also disclosed that it was reviewing “potential adjustments to reserves for returns and price adjustments of approximately $15.0 million to $20.0 million.” These amounts relate “to returns and a price adjustment for PEMFEXY stemming from slower-than-anticipated pull-through from a wholesale customer predominantly due to expiry of inventory.” On this news, the Company’s stock price fell $0.27, or 2.8%, to close at $9.27 per share on November 10, 2023, on unusually heavy trading volume. Then, on November 29, 2023, before the market opened, Eagle Pharmaceuticals disclosed that Scott Tarriff, the Company’s President and Chief Executive Officer resigned. The Company’s board of directors accepted the resignation “[a]fter consideration of various alternatives, including termination with or without cause.” On this news, the Company’s stock price fell $2.55, or 31%, to close at $5.68 per share on November 29, 2023, on unusually heavy trading volume. The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that the Company was experiencing slower-than-anticipated pull-though from a wholesale customer predominantly due to expiry of inventory; (2) that, as a result, the Company had overstated its revenue; (3) that the Company did not have effective internal controls and procedures over financial reporting as to PEMFEXY sales; and (4) as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
ABOUT EAGLE PHARMACEUTICALS
- Eagle Pharmaceuticals, Inc. is a pharmaceutical company that focuses on developing and commercializing injectable products. The company has been involved in the development of both branded and generic products. One of its notable products is BENDEKA (bendamustine hydrochloride), an injectable treatment for certain types of cancer.
JOIN THIS CASE
It is important to note that a class action lawsuit has already been filed in connection with these allegations. Therefore, for those individuals who suffered financial losses in their investments in Eagle Pharmaceuticals during the Class Period, there is a limited opportunity to seek appointment as a lead plaintiff. This process entails requesting the Court to designate them as the primary representative on behalf of the entire class. The deadline for submitting such a request is February 9, 2024. It is important to emphasize that while becoming a lead plaintiff can offer certain advantages, participation in the recovery process and the potential for financial compensation does not mandate serving as a lead plaintiff.
Twersky Law Group, a distinguished legal firm renowned for its attorneys expertise in handling securities fraud class actions and shareholder derivative suits, who have a long-standing track record of successfully recovering significant sums of money for investors nationwide. With an unwavering commitment to seeking justice for their clients, the firm’s attorneys are resolute in pursuing fair compensation on behalf of those affected by alleged securities law violations. As with any legal matter, it is essential to understand that this announcement constitutes attorney advertising. Past case outcomes and results achieved do not guarantee similar outcomes in this particular case.