RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased Aceto Corporation (NASDAQ: ACET) (“Aceto” or the “Company”) publicly traded securities between February 1, 2018, through April 18, 2018, inclusive (the “Class Period”).
Aceto shareholders may, no later than June 25, 2018, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of Aceto and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (844) 291-9299 or to sign up online, click here.
Aceto Corporation markets, sells, and distributes human health products, pharmaceutical ingredients, and performance chemicals. The Company offers finished dosage form generics, nutritionals, pharmaceutical intermediates, active pharmaceutical ingredients, specialty chemicals, and agricultural protection products.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) due to undisclosed competitive and pricing pressures, Aceto was unlikely to meet the performance metrics the Company provided to its investors as financial guidance; (ii) accordingly, Aceto’s financial guidance was overstated; and (iii) as a result of the foregoing, Aceto’s financial statements and Defendants’ statements about Aceto’s business, operations, and prospects, were materially false and misleading at all relevant times.
On April 18, 2018, after the market closed, Aceto disclosed that “the financial guidance issued on February 1, 2018, should no longer be relied upon,” and suspended “further financial guidance for at least the balance of the fiscal year.” Aceto also disclosed that “the Company anticipates recording non-cash intangible asset impairment charges, including goodwill, in the range of $230 million to $260 million on certain currently marketed and pipeline generic products as a result of continued intense competitive and pricing pressures.” Aceto also disclosed the resignation of its Chief Financial Officer, Edward Borkowski, who had joined Aceto just two months earlier.
As a result of the disclosure, Aceto’s stock price fell $4.74 per share, or 64%, to close at $2.66 per share on April 19, 2018.
If you are a member of the class, you may, no later than June 25, 2018, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed 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. Under certain circumstances, one or more class members may together serve as “lead plaintiff.” Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain RM LAW, P.C. or other counsel of your choice, to serve as your counsel in this action.