Neogen Faces Class Action Lawsuit Over Alleged Misrepresentation
Class Action Lawsuit Against Neogen Corporation
Bragar Eagel & Squire, P.C. has initiated a class action lawsuit on behalf of investors who purchased common stock of Neogen Corporation (NEOG). This legal action follows a period of disclosed financial setbacks related to the company’s acquisition of 3M. It encourages affected investors to come forward and discuss potential claims.
Details of the Class Action
Investors who acquired shares of Neogen from January 5, 2023, to June 3, 2025, are eligible to join this action. Those interested in exploring their rights are invited to contact Brandon Walker, a partner at Bragar Eagel & Squire. The firm is dedicated to representing investors who have experienced losses during the defined class period.
Understanding the Allegations
The lawsuit accuses Neogen of violating sections of the Securities Exchange Act, claiming significant misrepresentation regarding the integration of the 3M acquisition. Allegations include failure to disclose critical integration issues impacting the company's financial performance.
Impact of Integration Issues
Reports indicate that Neogen failed to maintain strong internal controls over their financial reporting. In light of these failures, the lawsuit maintains that investors were misled about the ongoing success of the integration with 3M.
Investor Reactions and Company Response
As Neogen begins to unveil the challenges stemming from the 3M acquisition, stock prices have reacted negatively, showcasing a lack of investor confidence. The company disclosed substantial financial losses attributed to non-cash goodwill impairment charges and ongoing operational inefficiencies. Investors first became aware of these serious issues beginning on January 10, 2025.
Key Disclosures
Following a series of financial statements and regular disclosures by the company, investors learned of significant revenue declines and adjustments to future growth expectations. These disclosures catalyzed a marked drop in stock prices and have prompted investor concern about the company’s strategic direction.
Next Steps for Investors
Investors have until a specified deadline to apply to the court for lead plaintiffs status in the class action. Those who believe they may have a claim should seek legal advice promptly to ensure they preserve their rights.
About Bragar Eagel & Squire, P.C.
Bragar Eagel & Squire is a national law firm dedicated to protecting the rights of investors. The firm specializes in complex litigation involving securities and other commercial matters. More details about the firm and contact information can be found on their website.
Frequently Asked Questions
What prompted the class action lawsuit against Neogen?
The lawsuit arose from allegations that Neogen misrepresented its financial health related to the 3M acquisition, leading to significant losses for investors.
Who is eligible to join the class action?
Investors who purchased Neogen shares between January 5, 2023, and June 3, 2025, may be eligible to participate in the lawsuit.
What should affected investors do now?
Interested investors should reach out to Bragar Eagel & Squire for legal guidance and to discuss their options related to the lawsuit.
What are the potential outcomes of the lawsuit?
The potential outcomes could include financial compensation for affected investors if the court finds in favor of the class action.
How might this impact Neogen's future?
This lawsuit could affect Neogen's credibility and stock performance, depending on the legal proceedings and the eventual outcomes.
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