Robbins Arroyo LLP: Alexion Pharmaceuticals, Inc. (ALXN) Misled Shareholders According to a Recently Filed Class Action
Robbins Arroyo LLP announces that a class action complaint was filed against Alexion Pharmaceuticals, Inc. (NASDAQGS: ALXN) in the U.S. District Court for the Southern District of New York. The complaint is brought on behalf of all purchasers of Alexion securities between February 10, 2014 and November 9, 2016, for alleged violations of the Securities Exchange Act of 1934 by Alexion’s officers and directors. Alexion, a biopharmaceutical company, develops and commercializes life-transforming therapeutic products. Among the company’s products is Soliris, a monoclonal antibody for the treatment of paroxysmal nocturnal hemoglobinuria and atypical hemolytic uremic syndrome.
Alexion Accused of Engaging in Improper Sales Practices
According to the complaint, Alexion submitted several filings with the U.S. Securities and Exchange Commission stating that the financial information was accurate and disclosed any material changes to the company’s internal control over financial reporting. The company’s Q2 2016 8-K noted that Soliris net product sales were $701 million, compared to $636 million in Q2 2015, representing a 10% increase and 15% year-on-year increase. However, the complaint alleges that Alexion officials failed to disclose that Alexion employed improper sales practices with respect to Soliris and, consequently, the company’s revenues from Soliris sales were unlikely to be sustainable.
On November 4, 2016, Alexion canceled an appearance at the Credit Suisse Healthcare Conference, telling Leerink Partners LLC that “something came up.” On November 9, 2016, the company announced that it would be unable to timely file its Form 10-Q for the quarter ended September 30, 2016, citing an internal investigation concerning the company’s Soliris sales practices. Alexion stated that company personnel may have engaged in sales practices that were inconsistent with company policies and procedures. On this news, Alexion’s stock fell $13.54 per share, or 10.65%, to close at $113.62 per share on November 11, 2016.
Alexion 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.
Send This Post