Case Page

 

Case Status:    SETTLED
On or around 06/06/2014 (Settlement preliminarily approval)

Filing Date: November 21, 2011

According to a press release dated November 21, 2011, the complaint alleges that throughout the Class Period, defendants issued materially false and misleading statements regarding the Company’s business and financial results.

Specifically, plaintiffs charge that the defendants failed to disclose that: (i) the Company suffered from extensive quality control issues throughout the Class Period, which undermined both the viability of and the supposed financial savings that would be generated by Project Fuel, a Company program designed to optimize operations and increase shareholder value; (ii) the Company was unable to remedy problems identified in FDA Warning Letters related to its infusion pumps, quality control deficiencies, and manufacturing weaknesses; (iii) the Company’s revenue guidance for 2010 and 2011 was misstated and lacked a reasonable basis when made; and (iv) as a result of the foregoing, defendants’ statements regarding the Company’s financial performance and expected earnings were false and misleading and lacked a reasonable basis when made.

On October 18, 2011, the Company announced disappointing preliminary third quarter financial results and slashed full-year guidance, pointing to a production disruption at its Rocky Mount, North Carolina manufacturing plant, which accounted for approximately 25% of the Company’s sales. The Company attributed the production slowdown to the impact of an ongoing FDA investigation.

The result of the Company’s negative results was a 21% drop in the price of its common stock, which fell $7.85 per share to close at $29.51 per share on October 18, 2011.

On April 18, 2012, a Memorandum Opinion and Order was issued by the Court appointing lead plaintiff and lead counsel.

On February 13, 2013, the Court issued a Memorandum Opinion and Order which grants in part and denies in part the Defendant’s Motion to Dismiss and grants the Plaintiff’s Motion to Strike.

On March 27, 2014, the parties entered into a Settlement Agreement pursuant to Rule 23 of the Federal Rules of Civil Procedure and Rule 408 of the Federal Rules of Evidence.

COMPANY INFORMATION:

Sector: Healthcare
Industry: Biotechnology & Drugs
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: HSP
Company Market: New York SE
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: N.D. Illinois
DOCKET #: 11-CV-08332
JUDGE: Hon. William J. Hibbler
DATE FILED: 11/21/2011
CLASS PERIOD START: 03/24/2009
CLASS PERIOD END: 10/17/2011
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Robbins Geller Rudman & Dowd LLP (Boca Raton)
    120 East Palmetto Park Road, Suite 500, Robbins Geller Rudman & Dowd LLP (Boca Raton), FL 33432
    561.750.3000 561.750.3364 ·
  2. VanOverbeke Michaud & Timmony, P.C.
    79 Alfred Street, VanOverbeke Michaud & Timmony, P.C., MI 48201
    313.578.1200 313.578.1200 ·
  3. Wexler Wallace LLP (Chicago)
    55 West Monroe St. Ste. 3300, Wexler Wallace LLP (Chicago), IL 60603
    312.346.2222 312.346.2222 ·
No Document Title Filing Date
COURT: N.D. Illinois
DOCKET #: 11-CV-08332
JUDGE: Hon. William J. Hibbler
DATE FILED: 06/25/2012
CLASS PERIOD START: 02/04/2010
CLASS PERIOD END: 10/17/2011
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Motley Rice LLC (Mount Pleasant)
    28 Bridgeside Boulevard, Motley Rice LLC (Mount Pleasant), SC 29464
    843.216.9000 843.216.9450 · inquiry@motleyrice.com
  2. Robbins Geller Rudman & Dowd LLP
    200 S. Wacker Drive Suite 3100 , Robbins Geller Rudman & Dowd LLP , IL 60606
    312.674.4674. 312.674.4674. ·
  3. Robbins Geller Rudman & Dowd LLP (Boca Raton)
    120 East Palmetto Park Road, Suite 500, Robbins Geller Rudman & Dowd LLP (Boca Raton), FL 33432
    561.750.3000 561.750.3364 ·
No Document Title Filing Date