According to the law firm press release, the Complaint alleges that Biogen and certain of its executive officers and directors misrepresented the financial benefits that Biogen would receive from the sale of its drug TECFIDERA. TECFIDERA is one of Biogen's most important drug products. On multiple occasions during the first half of 2015, the defendants predicted 2015 revenue growth between 14% and 16% over 2014. Specifically, the market was told that "TECFIDERA will represent the largest contributor to [Biogen's] overall revenue growth."
But then, on July 24, 2015, Biogen announced a revision to its previously issued revenue growth guidance, reducing its expected growth by half "based largely on revised expectations for the growth of TECFIDERA." On this news, the trading price of Biogen common stock dropped from a closing price of $385.05 on July 23, 2015 to close at $300.03 per share on July 24, 2015, a loss of more than 22%, on extremely heavy trading volume.
On June 23, 2016, the Court issued an Order granting Defendants' Motion to Dismiss with prejudice. On July 22, Plaintiff filed a Notice of appeal of this decision.
On October 18, 2016, Plaintiff filed an Amended Notice of Appeal.
On May 12, 2017, the Court of Appeals issued an Opinion affirming the decision of the District Court.