SAN DIEGO, July 19, 2024 (GLOBE NEWSWIRE) -- Robbins Geller Rudman & Dowd LLP announces that purchasers or acquirers of Biogen Inc. ( BIIB) securities between February 3, 2022 and February 13, 2024, inclusive (the “Class Period”), have until this upcoming Monday, July 22, 2024 to seek appointment as lead plaintiff in the Biogen class action lawsuit. Captioned Gray v. Biogen Inc., No. 24-cv-01444 (D. Colo.), the Biogen class action lawsuit charges Biogen and certain of Biogen’s top current and former executives with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the Biogen class action lawsuit, please provide your information here:
https://www.rgrdlaw.com/cases-biogen-inc-class-action-biib.html
You can also contact attorneys J.C. Sanchez or Jennifer N. Caringal of Robbins Geller by calling 800/449-4900 or via e-mail at [email protected]. Lead plaintiff motions for the Biogen class action lawsuit must be filed with the court no later than July 22, 2024.
CASE ALLEGATIONS: Biogen’s products include, among others, Leqembi and Aduhelm for the treatment of Alzheimer’s disease (“AD”), as well as various drugs for the treatment of multiple sclerosis.
The Biogen class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) Biogen had overstated its efforts to enhance its transparency, corporate governance, and compliance controls and procedures, as well as the efficacy of those controls and procedures; (ii) accordingly, Biogen maintained inadequate compliance controls and procedures in connection with its business operations in foreign countries; (iii) Biogen and/or its employees were engaged in unlawful or otherwise improper conduct in several foreign countries; (iv) the foregoing subjected Biogen to a heightened risk of governmental and/or regulatory scrutiny and enforcement action, as well as significant legal, financial, and reputational harm; (v) Biogen overstated the strength of its AD-related product portfolio, including Biogen’s and Eisai Co., Ltd.’s efforts and success in launching and providing access to Leqembi; (vi) Biogen also downplayed the negative impact that its acquisition of Reata Pharmaceuticals, Inc. would have on its fiscal year (“FY”) 2023 non-GAAP diluted earnings per share (“EPS”); and (vii) all the above were likely to have a significant negative impact on Biogen’s 2023 results.
The Biogen class action lawsuit further alleges that on November 8, 2023 Biogen negatively revised non-GAAP diluted EPS guidance for FY 2023 in a range of $14.50 to $15.00 per share, significantly below its previous guidance of FY 2023 non-GAAP diluted EPS of $15.00 to $16.00 per share, citing approximately $0.75 of dilution from its acquisition of Reata. On this news, the price of Biogen stock fell nearly 6%, according to the complaint.
The Biogen class action lawsuit further alleges that on January 8, 2024 Biogen’s CEO, defendant Christopher A. Viehbacher, discussed challenges associated with the launch of Leqembi and walked back prior expectations of having 10,000 patients on the drug by the end of March 2024. On this news, the price of Biogen stock fell, according to the complaint.
Then, on February 6, 2024, news reports emerged that Eisai, Biogen’s partner in developing Leqembi, was facing challenges with the launch of the drug and that only 2,000 patients in the United States had been administered the drug, according to the complaint. On this news, the price of Biogen stock fell approximately 2%, according to the Biogen class action lawsuit.
Thereafter, on February 13, 2024, Biogen announced its fourth quarter (“Q4”) and FY 2023 results, including Q4 non-GAAP EPS of $2.95, missing consensus estimates by $0.23, and Q4 revenue of $2.4 billion, missing consensus estimates by $60 million and representing a 5.5%, year-over-year decline, according to the complaint. Biogen also disclosed that Q4 “GAAP and Non-GAAP diluted EPS [was] negatively impacted by $0.35 related to [the] previously disclosed closeout costs for ADUHELM,” confirmed that Biogen had “approximately 2,000 patients on [Leqembi] at the moment,” and that it had “an indication that there are about 3,800 patients as of last week on the registry” – significantly less than the 10,000-patient goal set by Biogen and Eisai for the end of following month, according to the complaint. On this news, the price of Biogen stock fell more than 7%, according to the Biogen class action lawsuit.
Finally, the Biogen class action lawsuit alleges that on February 14, 2024 Biogen disclosed that it had received a subpoena from the U.S. Department of Justice “seeking information relating to [Biogen’s] business operations in several foreign countries” and that “[t]he Company is also providing information relating to [its] business operations in several foreign countries to the SEC.” On this news, the price of Biogen stock fell more than 2%, according to the complaint.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired Biogen securities during the Class Period to seek appointment as lead plaintiff in the Biogen class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the Biogen class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the Biogen class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the Biogen class action lawsuit.
ABOUT ROBBINS GELLER: Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities fraud cases. Our Firm has been #1 in the ISS Securities Class Action Services rankings for six out of the last ten years for securing the most monetary relief for investors. We recovered $6.6 billion for investors in securities-related class action cases – over $2.2 billion more than any other law firm in the last four years. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit the following page for more information:
https://www.rgrdlaw.com/services-litigation-securities-fraud.html
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Contact:
Robbins Geller Rudman & Dowd LLP
J.C. Sanchez, Jennifer N. Caringal
655 W. Broadway, Suite 1900, San Diego, CA 92101
800-449-4900
[email protected]
