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NEW YORK, NY / ACCESSWIRE / April 28, 2021 / Labaton Sucharow, a national shareholder rights litigation firm, announces that a securities fraud class action lawsuit has been filed in the United States District Court for the District of Maryland against Emergent BioSolutions Inc. (NYSE:EBS) ("Emergent") on behalf of those who purchased or acquired Emergent common stock between July 6, 2020 and March 31, 2021, inclusive (the "Class Period").
Deadline Reminder: Investors who purchased or acquired Emergent common stock during the Class Period may, no later than June 18, 2021, seek to be appointed as a lead plaintiff representative of the class. For additional information investors are encouraged to contact the litigation partner assigned to the matter, David J. Schwartz via email at firstname.lastname@example.org or using the toll-free number (800) 321-0476.
Emergent is a specialty biopharmaceutical company that develops vaccines and antibody therapeutics for infectious diseases.
The Class Period commences on July 6, 2020, when Emergent issued a press release announcing that it had signed a five-year agreement for large-scale drug substance manufacturing for Johnson & Johnson's ("J&J") lead COVID-19 vaccine candidate.
The truth about Emergent was revealed on March 31, 2021 after the close of markets, when The New York Times published an article reporting on the accidental contamination of COVID-19 vaccines developed by J&J and AstraZeneca at the Emergent manufacturing plant in Baltimore. The New York Times article stated that in late February 2021, employees at Emergent's Baltimore manufacturing plant inconceivably "mixed up" ingredients of the two different COVID-19 vaccines, contaminating up to 15 million doses of J&J's vaccine and forcing regulators to delay authorization of the plant's production lines. Further, The New York Times article noted that Emergent's massive vaccine lot contamination went undiscovered for days until J&J's quality control checks uncovered it, raising questions about Emergent's failed training and supervision of its employees during the production process. Following this news, Emergent's stock price dropped from a close of $92.91 on March 31, 2021, down to a close of $80.46 on April 1, 2021, a drop of over 13%. As more facts unfolded in the media, Emergent's stock price continued to decline, closing at $78.62 on April 5, 2021.
The complaint alleges that throughout the Class Period, the defendants failed to disclose that: (1) Emergent's Baltimore plant had a history of manufacturing issues increasing the likelihood for massive contaminations; (2) these longstanding contamination risks and quality control issues at Emergent's facility led to a string of U.S. Food and Drug Administration citations; (3) Emergent previously had to discard the equivalent of millions of doses of COVID-19 vaccines after workers at the Baltimore plant deviated from manufacturing standards; and (4) as a result of the foregoing, the defendants' public statements about Emergent's ability and capacity to mass manufacture multiple COVID-19 vaccines at its Baltimore manufacturing site were materially false and/or misleading and/or lacked a reasonable basis.
Emergent investors may, no later than June 18, 2021, seek to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, LLP or other counsel, or may choose to do nothing and remain an absent class member. A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. In order to be appointed as a lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
About the Firm
Labaton Sucharow LLP is one of the world's leading complex litigation firms representing clients in securities, antitrust, corporate governance and shareholder rights, and consumer cybersecurity and data privacy litigation. Labaton Sucharow has been recognized for its excellence by the courts and peers, and it is consistently ranked in leading industry publications. Offices are located in New York, NY, Wilmington, DE, and Washington, D.C. More information about Labaton Sucharow is available at http://www.labaton.com.
David J. Schwartz
SOURCE: Labaton Sucharow LLP
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