Albany Molecular Research Inc.
Robbins Arroyo LLP: Albany Molecular Research, Inc. (AMRI) Misled Shareholders According to a Recently Filed Class Action
Robbins Arroyo LLP announces that an investor of Albany Molecular Research, Inc. (NASDAQ: AMRI) has filed a federal securities fraud class action complaint in the U.S. District Court for the Eastern District of New York. The complaint alleges that the company and certain of its officers and directors violated the Securities Exchange Act of 1934 between August 5, 2014 and November 5, 2014. Albany Molecular is a contract research and manufacturing company that provides integrated drug discovery, development, and manufacturing services primarily in the United States, Europe, and Asia.
Albany Molecular Is Accused of Misrepresenting and Failing to Disclose Material Adverse Facts about the Company’s Operations, Financial Performance, and Prospects
According to the complaint, shares of Albany Molecular declined $6.08, or more than 35%, to close at $16.59 per share on November 5, 2014, after the company issued a press release signaling weak earnings results for its third quarter 2014 and a lowered its full year 2014 financial outlook. Originally, on August 5, 2014, Albany Molecular increased its 2014 earnings guidance to a range between $0.87 and $0.92, reflecting its July 2014 acquisition of Oso Biopharmaceuticals Manufacturing. Then, on November 5, 2014, the company reported a loss of $8.6 million in its third quarter and lowered its full year adjusted diluted EPS guidance to a range between $0.67 and $0.73. The complaint alleges that the company’s revised earning resulted in part from a previously undisclosed power interruption at the Oso Biopharmaceuticals Manufacturing facility that led “to the loss of finished products and the need for remediation work on one of the suites.” The complaint alleges that Albany Molecular knew and failed to disclose the 2014 power interruption and, as a result, the company’s financial guidance was misleading during the class period.
Albany Molecular Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, or you can complete the form below and we will contact you directly.