WASHINGTON, DC (August 23, 2017) — U.S. Market Advisors Law Group PLLC announces that a securities class action has been filed against Teva Pharmaceutical Industries Ltd. (“Teva” or the “Company”) (NYSE:TEVA). The class action is on behalf of investors who acquired Teva securities November 16, 2016 and August 2, 2017.
Critical Investor Note: The proposed class action does NOT include bondholders. Bonds, however, have suffered significant losses and USMA Law Group is investigating whether a new action should be filed to include bondholders.
Investors with losses have until October 23, 2017 to ask the Court to appoint you as Lead Plaintiff for the class. The Lead Plaintiff is a representative for absent members of the class. Investors do not need to seek appointment as Lead Plaintiff to share in any class recovery in this action. If you are a class member and there is a recovery for the class, you can share in that recovery as an absent class member. You may retain counsel of your choice to represent you in this action. Contact USMA Law Group to discuss this action.
Teva is a pharmaceutical company. The Company is engaged in developing, producing and marketing generic medicines and a portfolio of specialty medicines.
Allegations Against Teva
The Complaint alleges that during the Class Period, defendants issued materially false and misleading statements and/or failed to disclose adverse information regarding Teva’s business and outlook. Specifically, the Complaint alleges that the poor performance of its U.S. generics business resulted in Teva’s recording a goodwill impairment charge related to the acquisition of Actavis Generics and was a key factor in cutting Teva’s dividend by 75%.
Defendants’ disclosed on August 3, 2017, the goodwill impairment charge of $6.1 billion in the second quarter of 2017, and lower than expected Q2 results attributed to the accelerated price erosion and decreased volume experienced in the U.S. generics business due to customer consolidation, greater competition, and delayed product launches.
In reaction to these announcements, Teva shares dropped from closing prices of 111.30 (ILS) per common share and $31.25 per ADS on August 2, 2017, to a new 52-week low closing price of 71.28 (ILS) per common share on August 6, 2017, and $20.60 per ADS on August 4, 2017, on heavy two-day trading volume.
About USMA Law Group
U.S. Market Advisors Law Group PLLC is a national law firm based in Washington, D.C. The firm represents investors worldwide in U.S. securities class action lawsuits.
David P. Abel