RADNOR, Pa., Sept. 2, 2023 /PRNewswire/ — The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been filed against Bausch Health Companies Inc. (“Bausch”) (NYSE: BHC). The action charges Bausch with violations of the federal securities laws, including omissions and fraudulent misrepresentations relating to the company’s business, operations, and prospects. As a result of Bausch’s materially misleading statements and omissions to the public, Bausch’s investors have suffered significant losses.
CLICK HERE TO SUBMIT YOUR BAUSCH LOSSES. YOU CAN ALSO CLICK ON THE FOLLOWING LINK OR COPY AND PASTE IN YOUR BROWSER: https://www.ktmc.com/new-cases/bausch-health-companies-inc?utm_source=PR&utm_medium=link&utm_campaign=bhc&mktm=r
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LEAD PLAINTIFF DEADLINE: SEPTEMBER 25, 2023
CLASS PERIOD: AUGUST 6, 2020 THROUGH MAY 3, 2023
Kessler Topaz is one of the world’s foremost advocates in protecting the public against corporate fraud and other wrongdoing. Our securities fraud litigators are regularly recognized as leaders in the field individually and our firm is both feared and respected among the defense bar and the insurance bar. We are proud to have recovered billions of dollars for our clients and the classes of shareholders we represent.
BAUSCH’S ALLEGED MISCONDUCT
Bausch is a pharmaceutical company known for its majority ownership of Bausch + Lomb Corporation (B+L). In 2016, Bausch was forced to replace its senior management and attempt to rebuild its reputation after it was revealed that it had engaged in one of the most egregious cases of securities fraud in U.S. history. Among other things, Bausch was forced to restate its financial statements, enter into a settlement with the SEC, and settle a class action with investors for a payment of more than $1.1 billion. The class action lawsuit, however, did not resolve all of Bausch’s investors’ claims as a number of “Opt-Out Plaintiffs”, consisting of numerous institutional and professional investors, proceeded with their claims after the settlement. According to the complaint, the potential damages at issue from the Opt-Out Plaintiffs equals approximately $4.2 billion.
The Class Period begins on August 6, 2020, when Bausch announced a plan to spinoff B+L as a separate company in order to reduce Bausch’s debt. When the spinoff was announced, Bausch knew they faced substantial risk from the Opt-Out Plaintiffs. Bausch also knew that spinning-off B+L would leave Bausch with significant debt and the loss of the cashflow B+L had historically generated.
On May 5, 2022, B+L effected the spinoff and began trading as an independent company under the ticker “BLCO” on the NYSE. Throughout the Class Period, Defendants repeatedly described the B+L spinoff as an attempt to reduce Bausch’s debt and said the spinoff was in the best interest of Bausch shareholders. The spinoff was actually an attempt to shield valuable assets from the Opt-Out Plaintiffs that ultimately operated to the detriment of ordinary Bausch shareholders.
On May 4, 2023, Bausch released its first quarter 2023 financial results, revealing negative earnings, indicating further delay of its B+L spinoff share distribution, which had been originally scheduled for May 2022. Analysts claimed that the probability of a distribution was now less than 50% and unlikely to occur in the near term. Following this news, Bausch’s stock price fell $1.51, or 25.3%, to close at $5.89 per share on May 4, 2023.
WHAT CAN I DO?
Bausch investors may, no later than September 25, 2023, move the Court to serve as lead plaintiff for the class, through Kessler Topaz Meltzer & Check, LLP or other counsel, or may choose to do nothing and remain an absent class member. Kessler Topaz Meltzer & Check, LLP encourages Bausch investors who have suffered significant losses to contact the firm directly to acquire more information. The class action complaint against Bausch, Kelk v. Bausch Health Companies, et al., Case No. 23-cv-03996, is filed in the United States District Court for the District of New Jersey before the Honorable Zahid Nisar Quraishi.
CLICK HERE TO SIGN UP FOR THE CASE
WHO CAN BE A LEAD PLAINTIFF?
A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. The lead plaintiff is usually the investor or small group of investors who have the largest financial interest and who are also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
ABOUT KESSLER TOPAZ MELTZER & CHECK, LLP
Kessler Topaz Meltzer & Check, LLP prosecutes class actions in state and federal courts throughout the country and around the world. The firm has developed a global reputation for excellence and has recovered billions of dollars for victims of fraud and other corporate misconduct. All of our work is driven by a common goal: to protect investors, consumers, employees and others from fraud, abuse, misconduct and negligence by businesses and fiduciaries. The complaint in this action was not filed by Kessler Topaz Meltzer & Check, LLP. For more information about Kessler Topaz Meltzer & Check, LLP please visit www.ktmc.com.
SOURCE Kessler Topaz Meltzer & Check, LLP
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