SAN DIEGO, Nov. 10, 2014 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of certain purchasers of shares of Salix Pharmaceuticals, Ltd. (SLXP) over alleged Federal Securities Laws Violations by Salix Pharmaceuticals, Ltd.
If you purchased shares of Salix Pharmaceuticals, Ltd. (Nasdaq:SLXP), you have certain options and for certain investors are short and strict deadlines running. Deadline: January 6, 2015. SLXP investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff claims that the defendants made certain allegedly false and misleading statements and allegedly concealed certain material information regarding deteriorating demand for Salix Pharmaceuticals, Ltd top-selling drug Xifaxan and other Salix Pharmaceuticals, Ltd drugs and wholesaler inventory levels of Xifaxan and other Salix Pharmaceuticals, Ltd drugs, which were significantly greater and rising more rapidly than revealed to investors.
Furthermore, the plaintiff alleges that Salix Pharmaceuticals, Ltd's reserves for outstanding inventory were understated and, because of this understatement, its reported quarterly and annual net revenue and earnings per share figures were overstated, and that Salix Pharmaceuticals, Ltd's disclosure controls and procedures and its internal controls over financial reporting and accounting were subject to material weaknesses.
The plaintiff claims that the true state of the demand for Xifaxan and other Salix Pharmaceuticals, Ltd drugs and the consequences for the Company's business were revealed on November 6 and 7, 2014, when Salix Pharmaceuticals, Ltd disclosed that its longstanding Chief Financial Officer, Adam C. Derbyshire, had abruptly resigned, that its wholesaler inventory levels were three times greater than previously reported and the Audit Committee of Salix's Board of Directors had retained outside counsel as part of an inquiry into the Company's reporting of wholesale inventory of Xifaxan and other drugs, and that its previously issued guidance for full-year 2014 revenues would not be met and needed to be reduced by 12.5 percent.
Shares of Salix Pharmaceuticals, Ltd. (Nasdaq:SLXP) declined from as high as $141.79 per share on November 6, 2014, to as low as $86 per share on November 7, 2014.
Those who purchased shares of Salix Pharmaceuticals, Ltd. have certain options and should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.