Emergent investors may receive additional information about the case by clicking the link "Submit Your Information" above.
Emergent is a specialty biopharmaceutical company that develops vaccines and antibody therapeutics for infectious diseases.
The Class Period commences on July 6, 2020, when Emergent issued a press release announcing that it had signed a five-year agreement for large-scale drug substance manufacturing for Johnson & Johnson’s (“J&J”) lead COVID-19 vaccine candidate. Under the agreement, valued at $480 million for the first two years, Emergent would begin manufacturing J&J’s COVID-19 vaccine in 2021 at Emergent’s manufacturing facility in Baltimore. In announcing the agreement, Emergent’s President and Chief Executive Officer, Robert G. Kramer Sr., highlighted Emergent’s “manufacturing strength to address the COVID-19 pandemic.” Emergent’s Senior Vice President, Syed T. Husain, added that Emergent had “the expertise and capabilities to meet the long-term needs of [its] customers and provide ongoing commercial manufacturing to benefit patients.” Shortly thereafter, on July 27, 2020, Emergent issued a press release announcing another deal with AstraZeneca to provide services to support production of its COVID-19 vaccine candidate. This deal, valued at approximately $174 million, also contracted Emergent to produce drug substance manufacturing services at its Baltimore facility, beginning in 2020, at a large scale for commercial supply.
The truth about Emergent was revealed on March 31, 2021 after the close of markets, when The New York Times published an article reporting on the accidental contamination of COVID-19 vaccines developed by J&J and AstraZeneca at the Emergent manufacturing plant in Baltimore. The New York Times article stated that in late February 2021, employees at Emergent’s Baltimore manufacturing plant inconceivably “mixed up” ingredients of the two different COVID-19 vaccines, contaminating up to 15 million doses of J&J’s vaccine and forcing regulators to delay authorization of the plant’s production lines. Further, The New York Times article noted that Emergent’s massive vaccine lot contamination went undiscovered for days until J&J’s quality control checks uncovered it, raising questions about Emergent’s failed training and supervision of its employees during the production process. Following this news, Emergent’s stock price dropped from a close of $92.91 on March 31, 2021, down to a close of $80.46 on April 1, 2021, a drop of over 13%. As more facts unfolded in the media, Emergent’s stock price continued to decline, closing at $78.62 on April 5, 2021.
The complaint alleges that throughout the Class Period, the defendants failed to disclose that: (i) Emergent’s Baltimore plant had a history of manufacturing issues increasing the likelihood for massive contaminations; (ii) these longstanding contamination risks and quality control issues at Emergent’s facility led to a string of U.S. Food and Drug Administration citations; (iii) Emergent previously had to discard the equivalent of millions of doses of COVID-19 vaccines after workers at the Baltimore plant deviated from manufacturing standards; and (iv) as a result of the foregoing, the defendants’ public statements about Emergent’s ability and capacity to mass manufacture multiple COVID-19 vaccines at its Baltimore manufacturing site were materially false and/or misleading and/or lacked a reasonable basis.
If you are a member of the class described above, you may no later than June 18, 2021 move the Court to serve as lead plaintiff of the class, if you so choose.
A lead plaintiff is a representative party that acts 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. Filling out the online form above or communicating with any counsel is not necessary to participate or share in any recovery achieved in this case. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of his/her choice, or may choose to do nothing and remain an inactive class member.
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP: James Maro, Esq. (484) 270-1453 or Adrienne Bell, Esq. (484) 270-1435; toll-free at (844) 887-9500; or via e-mail at firstname.lastname@example.org. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.