Plaintiff's law firm issued a press release on February 22, 2019, announcing the filing of the law suit. According to the press release, WuXi PharmaTech Inc. purports to be an integrated R&D services platform along the entire value chain of drug discovery and development, with one of the broadest integrated service and technology platforms in the life-science industry, from discovery to clinical development. Originally incorporated in China, on March 16, 2007, the Company reincorporated in the Cayman Islands in advance of its initial public offering of its American Depositary Shares (“ADS”), each representing eight ordinary shares, on the New York Stock Exchange, in August 2007. Upon its reincorporation in the Cayman Islands, the Company became a holding company for its numerous pharmaceutical, biotechnology, and medical device research and development services companies operating in the United States and China. Among the Company’s subsidiaries were WuXi AppTec, WuXi Biologics, and WuXi NextCODE.
Through WuXi AppTec, the Company provided comprehensive and FDA, OECD, CFDA, and GLP-compliant bioanalysis services to support preclinical and clinical development for small molecule drugs, biologics, vaccines and pharmacodynamic biomarkers. WuXi Biologics was the Company’s biologics services provider that offered comprehensive, integrated and highly customizable services through teams of scientists, proprietary technology platform and know-how, state-of-the-art laboratories, and cGMP-compliant manufacturing facilities to pharmaceutical and biotechnology companies. WuXi NextCODE is a leading genomic analysis and bioinformatics company with operations in the United States and Iceland, which the Company acquired on January 9, 2015, for $65 million.
The Complaint alleges that throughout the Class Period, as a result of Defendants’ wrongful acts and omissions, and the precipitous decline in the market value of the Company’s securities, Plaintiff and other Class members suffered significant losses and damages.
On May 28, 2019, the Court issued an Order appointing Lead Plaintiff and Counsel. On July 26, Lead Plaintiff voluntarily dismissed three of the Defendants. Lead Plaintiff filed a consolidated amended Complaint on August 5. Defendants filed a Motion to Dismiss the consolidated amended Complaint on October 7. On October 14, 2020, the Court issued an Order granting Defendants' Motion to Dismiss. The case was dismissed with prejudice.
