BENSALEM, Pa.–(BUSINESS WIRE)–Law Offices of Howard G. Smith continues its investigation on behalf of Eli Lilly and Company (“Eli Lilly” or the “Company”) (NYSE: LLY) investors concerning the Company’s possible violations of federal securities laws.
In August 2020, the Company began a clinical trial to test whether adding the Company’s antibody-based drug, LY-CoV555, to remdesivir would benefit patients diagnosed with COVID-19.
On October 13, 2020, the trial’s sponsor, the National Institute of Allergy and Infectious Diseases (“NIAID”) recommended that the trial be paused after an analysis of safety data found “an overall difference in clinical status between the group receiving LY-CoV555 and the group receiving saline placebo.”
On this news, Eli Lilly’s stock price fell $4.41, or 2.8%, to close at $150.08 per share on October 13, 2020.
The same day, after the market closed, Reuters reported that U.S. Food and Drug Administration (“FDA”) inspectors “uncovered serious quality control problems” at Eli Lilly’s pharmaceutical plant that will manufacture COVID-19 drugs, including its antibody therapy. The article further stated: “Following its November inspection, the FDA classified the problems as the most serious level of violation, resulting in an ‘Official Action Indicated’ (OAI) notice.” Among other things, the FDA “found that data on the plant’s various manufacturing processes had been deleted and not properly audited.”
On this news, the Company’s share price fell $7.28, or approximately 5%, over four consecutive trading sessions to close at $142.80 per share on October 19, 2020, thereby injuring investors further.
If you purchased Eli Lilly securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to email@example.com, or visit our website at www.howardsmithlaw.com.
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