INOTIV, INC. SHAREHOLDERS HAVE AN OPPORTUNITY TO RECOVER THEIR INVESTMENT LOSSES
Bernstein Liebhard LLP announces that a securities class action lawsuit has been filed on behalf of investors who purchased or acquired Inotiv, Inc. (“Inotiv” or the “Company”) (NASDAQ: NOTV) securities between September 21, 2021 and June 13, 2022, inclusive. The lawsuit seeks to recover Inotiv shareholders’ investment losses.
If you purchased securities in Inotiv, Inc. between September 21, 2021 and June 13, 2022, inclusive, and would like to discuss your legal rights and/or options, please click “Join Class Action” above.
Inotiv is a contract research organization which provides, among other things, nonclinical and analytical drug discovery and development services. On September 21, 2021, Inotiv announced the acquisition of Envigo RMS, LLC (“Envigo”), which acquisition it completed on November 5, 2021.
Plaintiff alleges that Defendants made materially false and misleading statements throughout the Class Period. Specifically, Plaintiff alleges that Defendants failed to disclose that: (1) Envigo and Inotiv’s Cumberland, Virginia facility (the “Cumberland Facility”) engaged in widespread and flagrant violations of the Animal Welfare Act (“AWA”); (2) Envigo and Inotiv did not properly remedy issues with regards to animal welfare at the Cumberland Facility; (3) as a result, Inotiv was likely to face increased scrutiny and governmental action; (4) Inotiv would imminently shut down two facilities, including the Cumberland Facility; and (5) Inotiv did not engage in proper due diligence.
On May 20, 2022, after market hours, Inotiv filed a Form 8-K with the SEC that stated that on May 18, 2022, the Department of Justice, together with federal and state law enforcement agents, executed a search and seizure warrant on the Cumberland, Virginia facility. Subsequently, on May 19, 2022, a complaint was filed against Envigo in the U.S. District Court for the Western District of Virginia. alleging violations of the Animal Welfare Act at the Cumberland, Virginia facility.
On this news, the Company’s share price fell $5.19 per share, or 28%, to close at $13.14 per share on May 23, 2022.
Then, on June 13, 2022, after trading hours, Inotiv issued a press release entitled “Inotiv, Inc. Announces Site Closures and Consolidation Plans.” The release announced the closure of two Envigo facilities in Virginia – a purpose-bred canine facility in Cumberland and a rodent breeding facility in Dublin – as part of restructuring activities following its acquisition of Envigo in November 2021.
On this news, the Company’s share price fell $0.25 per share, or 2%, to close at $12.78 per share on June 14, 2022.
If you wish to serve as lead plaintiff, you must move the Court no later than August 22, 2022. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn’t require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
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