Rigrodsky & Long, P.A. Announces A Securities Fraud Class Action Lawsuit Has Been Filed Against ViroPharma Incorporated
Rigrodsky & Long, P.A. announces that a complaint has been filed in the United States District Court for the Eastern District of Pennsylvania on behalf of all persons or entities that purchased the securities of ViroPharma Incorporated (“ViroPharma” or the “Company”) (NASDAQ GS: VPHM) between December 14, 2011 and April 9, 2012, inclusive (the “Class Period”), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers and directors (the “Complaint”).
If you purchased shares of ViroPharma during the Class Period, or purchased shares prior to the Class Period and still hold ViroPharma stock, and wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Timothy J. MacFall, Esquire or Peter Allocco of Rigrodsky & Long, P.A., 825 East Gate Boulevard, Suite 300, Garden City, NY at (888) 969-4242, by e-mail to email@example.com, or at: http://www.rigrodskylong.com/investigations/viropharma-incorporated-vphm.
ViroPharma, a Delaware corporation headquartered in Exton, Pennsylvania, is a global biotechnology company dedicated to the development and commercialization of products that address serious diseases, with a focus on products used by physician specialists or in hospital settings. The Company’s principal product is Vancocin, an antibiotic which was approved by the FDA in intravenous form more than half a century ago under the name Vancomycin. The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements regarding the Company’s business operations, financial condition and prospects. Specifically, the Complaint alleges that defendants misrepresented and omitted material facts concerning the market exclusivity it falsely assumed to possess for Vancocin. As a result of defendants’ false and misleading statements, the Company’s stock traded at artificially inflated prices during the Class Period.
According to the Complaint, on December 14, 2011, the Company issued a press release which announced the “modernization of labeling” for Vancocin made effective through the FDA approval of a supplemental new drug application (“sNDA”). As a result of the sNDA approval, the Company stated that it believed that Vancocin met the requirements for, and thus had, three years of [market] exclusivity, and that generic Vancomycin capsules would not be approved during that time. Following the issuance of this press release, the price for shares of ViroPharma rose $4.21, closing at $27.80 per share on December 14, 2011.
However, on April 10, 2012, ViroPharma issued a press release announcing that the FDA had informed the Company that the sNDA approved for Vancocin on December 14, 2011 would not qualify for three additional years of exclusivity. The FDA informed the Company that in order for an sNDA for an old antibiotic such as Vancocin to be eligible for a grant of exclusivity, it must be a significant new use or indication. Further, the press release stated that the FDA concurrently announced the approval of three applications for generic Vancomycin capsules. On this news, shares of ViroPharma common stock dropped $6.17, closing at $22.44 per share on April 10, 2012.
If you wish to serve as lead plaintiff, you must move the Court no later than July 17, 2012. A lead plaintiff is a representative party acting 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. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the proposed 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.
While Rigrodsky & Long, P.A. did not file the Complaint in this matter, the firm, with offices in Wilmington, Delaware and Garden City, New York, regularly litigates securities class, derivative and direct actions, shareholder rights litigation and corporate governance litigation, including claims for breach of fiduciary duty and proxy violations in the Delaware Court of Chancery and in state and federal courts throughout the United States.
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Rigrodsky & Long, P.A.
Timothy J. MacFall, Esquire