Johnson Fistel, LLP Files Class Action Suit against Diplomat Pharmacy, Inc.

PRNewswire 15-Mar-2019 2:00 PM

SAN DIEGO, March 15, 2019 /PRNewswire/ -- Johnson Fistel, LLP announces that it has filed a class action lawsuit on behalf of all those who purchased or otherwise acquired Diplomat Pharmacy, Inc. ("Diplomat") (NYSE:DPLO) common stock during the period between February 26, 2018 through February 21, 2019, inclusive (the "Class Period"). This action was filed in the United States District Court for the Northern District of Illinois, case No. 1:19-cv-01735.

The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or otherwise acquired Diplomat securities during the Class Period to seek appointment as lead plaintiff. A lead plaintiff acts on behalf of all other class members in directing the litigation. The lead plaintiff can select a law firm of its choice. An investor's ability to share in any potential future recovery is not dependent upon serving as lead plaintiff. If you wish to serve as lead plaintiff, you must move the Court no later April 25, 2019. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Jim Baker (jimb@johnsonfistel.com) at 619-814-4471. If emailing, please include a phone number. Additionally, you can [click here to join this action]. There is no cost or obligation to you.

The complaint alleges that defendants made false and misleading statements and failed to disclose that: (1) Diplomat had downplayed its success in integrating and growing its PBM business, which included LDI Integrated and National Pharmaceutical, two companies Diplomat had acquired in late 2017; (2) consequently, Diplomat would need to record a non-cash impairment charge upwards of approximately $630 million relating to its PBM business and these 2017 acquisitions; (3) due to the foregoing, Diplomat would withdraw its preliminary 2019 full-year outlook issued less than seven weeks prior; and (4) as a result, defendants' statements about Diplomat's business, operations and prospects were materially false and misleading and lacked a reasonable basis at all relevant times.

Plaintiff seeks to recover damages on behalf of all those who purchased or otherwise acquired Diplomat securities during the Class Period.

About Johnson Fistel, LLP:
Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York, and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit https://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.

Contact:
Johnson Fistel, LLP
Jim Baker, 619-814-4471
jimb@johnsonfistel.com

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SOURCE Johnson Fistel, LLP

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