SAN FRANCISCO, Dec. 22, 2023 (GLOBE NEWSWIRE) -- Hagens Berman urges Eagle Pharmaceuticals, Inc. (NASDAQ: EGRX) investors who suffered substantial losses to submit your losses now.
Class Period: Aug. 8, 2023 – Nov. 28, 2023
Lead Plaintiff Deadline: Feb. 9, 2024
Visit: www.hbsslaw.com/investor-fraud/EGRX
Contact An Attorney Now: EGRX@hbsslaw.com
844-916-0895
Eagle Pharmaceuticals, Inc. (EGRX) Securities Fraud Class Action:
On Dec. 15, 2023, one month after telling the market about improper accounting in Q3 2023, Eagle disclosed that investors should now no longer rely on its financial statements for 2Q 2023 as well.
The company revealed that 2Q 2023 reserves and price adjustments recorded for its lung cancer drug PEMFEXY® should have been higher, and therefore its net product sales for the period were correspondingly overstated. The company also stated that its failure to deliver its financial statements to its lenders constituted an event of default under its credit agreement. The full extent of the accounting problem is not yet known, as the company revealed that it is assessing whether additional corrections are required.
The company’s troubles began on Nov. 9, 2023, when it announced that it would not timely file its financial report for 3Q 2023. The Company said, in the course of preparing its interim 3Q 2023 financial statements, it determined that it was necessary to review potential adjustments primarily relating to reserves for PEMFEXY® returns and price adjustments estimated in the amount of $15.0 million to $20.0 million.
Then, on Nov. 29, 2023, Eagle announced that its board of directors accepted the resignation of its CEO (Scott Tarriff) effective immediately. The Board said that Tarriff’s separation agreement contains clawback provisions allowing the board to recoup or cancel payments of Tarriff’s compensation upon any finding that Tarriff engaged in conduct constituting “cause” under his employment agreement.
These events sent the price of Eagle shares sharply lower.
“We are investigating the propriety of Eagle Pharmaceuticals reserve and price adjustments and the sufficiency of its internal controls over financial reporting,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in Eagle Pharmaceuticals and have substantial losses, or have knowledge that may assist the firm’s investigation, submit your losses now »
If you’d like more information and answers to frequently asked questions about the Eagle Pharmaceuticals case and our investigation, read more »
Whistleblowers: Persons with non-public information regarding Eagle Pharmaceuticals should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email EGRX@hbsslaw.com.
About Hagens Berman
Hagens Berman is a global plaintiffs’ rights complex litigation law firm focusing on corporate accountability through class-action law. The firm is home to a robust securities litigation practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and fraud. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
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Contact:
Reed Kathrein, 844-916-0895
