NEW YORK--(BUSINESS WIRE)--Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Depomed, Inc. (“Depomed” or the “Company”) (NASDAQ:DEPO) of the October 17, 2017 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in Depomed stock or options between February 26, 2015 and August 7, 2017 and would like to discuss your legal rights, click here: www.faruqilaw.com/DEPO. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to email@example.com.
The lawsuit has been filed in the U.S. District Court for the Northern District of California on behalf of all those who purchased Depomed securities between February 26, 2015 and August 7, 2017 (the “Class Period”). The case, Huang v. Depomed, Inc. et al, No. 3:17-cv-04830 was filed on August 21, 2017.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (i) Depomed engaged in questionable practices in connection with the sales and marketing of the Company’s opioid products; (ii) when the aforementioned conduct became known, it would likely subject the Company to heightened legal and regulatory scrutiny; and (iii) as a result, Depomed’s public statements were materially false and misleading.
Specifically, after market on August 7, 2017, Depomed disclosed that the Company “recently received a request for information from the ranking minority member of the United States Senate Committee on Homeland Security and Governmental Affairs related to the promotion of opioids.” In addition, the Company had also received “subpoenas related to opioid sales and marketing from the Office of the Attorney General of Maryland and the United States Department of Justice.”
On this news, Depomed’s share price fell from $9.23 per share on August 7, 2017 to a closing price of $6.15 on August 8, 2017 —a $3.08 or a 33.37% drop.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Depomed’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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