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NVO CLASS ACTION ALERT: BFA Law Alerts Novo Nordisk Investors that the Company has been Sued for Fraud Contact BFA Law by March 25 Class Action Deadline (NYSE:NVO)
Globe Newswire 4-Feb-2025 1:09 PM
NEW YORK, Feb. 04, 2025 (GLOBE NEWSWIRE) -- Leading securities law firm Bleichmar Fonti & Auld LLP announces that a lawsuit has been filed against Novo Nordisk (NYSE:NVO) and certain of the Company's senior executives for potential violations of the federal securities laws.
Investors have until March 25, 2025, to ask the Court to be appointed to lead the case. The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Novo Nordisk securities. The case is pending in the U.S. District Court for the District of New Jersey and is captioned Moon v. Novo Nordisk A/S, et al., No. 25-cv-00713.
Why was Novo Nordisk Sued for Securities Fraud?
Novo Nordisk is a healthcare company focused on the research, development, manufacturing, and distribution of pharmaceutical products globally. During the relevant period, Novo Nordisk was conducting its highly anticipated Phase 3 study, REDEFINE-1, for CagriSema, an investigational drug developed for the treatment of obesity and type 2 diabetes.
Novo Nordisk discussed REDEFINE-1's trial protocol and anticipated results, stating that, after a dose escalation period, participants receiving CagriSema were to receive a once-weekly maintenance dosage of 2.4 mg cagrilintide and 2.4 mg semaglutide for the remainder of the trial period. In truth, REDEFINE-1 employed a flexible dosing design that left it to patient discretion to choose both their maintenance dose and any decision to lower the dosing during the trial. This undisclosed trial design introduced a heightened risk that jeopardized the Company's ability to achieve its anticipated results
The Stock Declines as the Truth is Revealed
On December 20, 2024, Novo Nordisk announced that CagriSema had missed its expected average weight loss target at the conclusion of the REDEFINE-1 trial. The Company attributed its diminished result, in part, on the previously undisclosed "flexible" nature of the protocol whereby patients were able to "modify their dosing throughout the trial." This flexibility resulted in less than 60% of patients taking the contemplated maintenance dose at the end of the trial. On this news, the price of Novo Nordisk stock declined roughly 18% during the course of the trading day, from a closing price of $103.44 per share on December 19, 2024 to $85.00 per share on December 20, 2024.
If you invested in Novo Nordisk you may have legal options and are encouraged to submit your information to the firm.
All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.
Bleichmar Fonti & Auld LLP is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It was named among the Top 5 plaintiff law firms by ISS SCAS in 2023 and its attorneys have been named Titans of the Plaintiffs' Bar by Law360 and SuperLawyers by Thompson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.'s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.
