NEW YORK, Jan. 6, 2024 /PRNewswire/ — Pomerantz LLP is investigating claims on behalf of investors of Eagle Pharmaceuticals, Inc. (“Eagle” or the “Company”) (NASDAQ: EGRX). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980.
The investigation concerns whether Eagle and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
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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 per share, or 30.4%, to close at $9.54 per share on November 9, 2023.
Then, 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.
Finally, on November 29, 2023, Eagle disclosed in a filing with the U.S. Securities and Exchange commission that on November 27, 2023, the Company “received a delinquency notification letter (the ‘Notice’) from the Listing Qualifications Department of The Nasdaq Stock Market LLC (‘Nasdaq’) notifying the Company that due to the delay in filing the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2023 (the ‘Form 10-Q’), the Company is not in compliance with Nasdaq Listing Rule 5250(c)(1) (the ‘Rule’), which requires listed companies to timely file all periodic financial reports with the Securities and Exchange Commission . . . . The Notice provides that the Company has 60 calendar days from the date of the Notice, or until January 26, 2024, to submit to Nasdaq a plan to regain compliance with the Rule.”
On this news, Eagle’s stock price fell $2.55 per share, or 30.98%, to close at $5.68 per share on November 29, 2023.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered billions of dollars in damages awards on behalf of class members. See www.pomlaw.com.
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CONTACT:
Danielle Peyton
Pomerantz LLP
[email protected]
646-581-9980 ext. 7980
SOURCE Pomerantz LLP
