RM Law announces that a class action lawsuit has been filed in United States District Court for the Northern District of Illinois on behalf of all persons or entities that purchased the common stock of Akorn, Inc. (“Akron” or the “Company”) (NASDAQ: AKRX) between April 17, 2014 and March 2, 2015, inclusive (the “Class Period”).
Akorn shareholders may, no later than May 4, 2015, move the Court for appointment as a lead plaintiff of the Class.
If you purchased shares of Akorn 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 (877) 316-3218 or to sign up online, visit: www.rmclasslaw.com/cases/akrx.
Akorn engages in the manufacture and marketing of diagnostic and therapeutic ophthalmic pharmaceuticals products, hospital drugs, and injectable pharmaceuticals in the United States and internationally. The Company offers products in various specialty areas, including ophthalmology, antidotes, anti-infectives, pain management, anesthesia, and vaccines.
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: (1) as of December 31, 2014, more than eight months after it acquired Hi-Tech and four months after it acquired VersaPharm, Akorn did not yet integrate those subsidiaries into the Company’s centralized accounting department and accounting systems; (2) certain financial and other related data related to Hi-Tech and VersaPharm, which require inclusion in Akorn’s annual report to be filed with the SEC on Form 10-K, could not be timely collected and compiled; (3) due to the aforementioned issues, the Company would be unable to timely complete its assessment of the effectiveness of its internal control over financial reporting as of December 31, 2014; (4) Akorn’s internal control over financial reporting was ineffective and material weaknesses existed relating to the completeness and accuracy of underlying data used in the determination of significant estimates and accounting transactions and accurate and timely reporting of its financial results and disclosures in its Form 10-K; (5) and as a result of the foregoing, Akorn’s public statements were materially false and misleading at all relevant times.
On March 2, 2015, after the close of trading, the Company issued a press release and filed a Form 12b‑25, Notification Of Late Filing, with the SEC, announcing that it would need an extension to file its annual report on Form 10-K for the year ending December 31, 2014.
As a result of this news, shares of Akorn fell $4.38, or over 8%, on unusually heavy volume, to close at $49.33 on March 3, 2015.
If you are a member of the class, you may, no later than May 4, 2015, 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 or other counsel of your choice, to serve as your counsel in this action.