The complaint alleges that, throughout the Class Period, defendants represented to investors that GSK removed Zantac, a treatment for heartburn and acid reflux, from the market “[b]ased on information available at the time and correspondence with regulators,” and that GSK was “continuing with investigations into the potential source of NDMA, [a cancer-causing poison].” Defendants also assured investors that “GSK, the FDA [U.S. Food and Drug Administration], and the EMA [European Medicines Agency] have all independently concluded that there is no evidence of a causal association between ranitidine therapy and the development of cancer in patients,” findings that were “consistent with other ranitidine data published prior to 2019.” Finally, defendants claimed that they could not “quantify or reliably estimate the liability” GSK could face from Zantac-related legal proceedings.
These representations were materially false or misleading. In truth, GSK was fully aware of the source of NDMA and had been for nearly 40 years before withdrawing Zantac from the market. Furthermore, defendants’ representations about their ability to “quantify or reliably estimate the liability” deceived investors, who did not know that GSK had for decades concealed an internal study that implicated GSK’s liability to Zantac users.
No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.
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