Elanco Animal Health Incorporated (NYSE: ELAN) is currently under investigation by prominent shareholder rights firm Hagens Berman. The investigation stems from investor concerns regarding the accuracy of Elanco’s previous statements regarding the commercial launch timelines for two key products.
The products in question, Zenrelia and Credelio Quattro, were positioned by Elanco as potential ‘blockbusters.’ On May 8, 2024, Elanco assured investors that both products had made significant progress through the FDA approval process. The company expressed confidence that the FDA possessed all necessary data and anticipated complete technical section and label approvals by the end of June 2024.
Elanco projected a third-quarter launch for Zenrelia and a fourth-quarter launch for Credelio Quattro in 2024. This news resulted in a substantial increase of over 24% in Elanco’s share price on May 8th.
However, on June 27, 2024, Elanco revised its launch timelines significantly. The company now expects to launch Zenrelia in the fourth quarter, with a label carrying a ‘boxed warning on safety’ due to trial results involving unvaccinated dogs. This warning is expected to impact the product’s adoption rate.
Additionally, Elanco disclosed that the FDA deemed Credelio Quattro’s New Animal Drug Application (NADA) incomplete, pushing the targeted launch date to the first quarter of 2025. This revised timeline announcement caused a significant decline in Elanco’s share price, dropping over 20% on June 27, 2024.
The discrepancy between Elanco’s prior assurances and the revised timelines has prompted Hagens Berman to investigate whether Elanco may have misled investors about Zenrelia’s safety and the completeness of the Credelio Quattro NADA.
If you are an investor in Elanco Animal Health and have suffered substantial losses, Hagens Berman urges you to submit your losses now. For more information and answers to frequently asked questions about the investigation, visit Hagens Berman’s website.
Whistleblowers with non-public information regarding Elanco are also encouraged to consider their options to help in the investigation or take advantage of the SEC Whistleblower program, which offers rewards for providing original information.
About Hagens Berman:
Hagens Berman is a global plaintiffs’ rights complex litigation firm that focuses on corporate accountability. The firm represents investors, whistleblowers, workers, consumers, and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. With a track record of securing over $2.9 billion in this area of law, Hagens Berman is committed to fighting for justice.
For updates and news, follow Hagens Berman on Twitter at @ClassActionLaw.