Archived Investigations
GSK plc (NYSE: GSK)
GSK and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On August 10, 2022, a Deutsche Bank report highlighted that it was “very possible” that the Company and other Zantac distributors “will incur the risk of some degree of shared liability, with the only real questions being what the magnitude of liability may be.” Despite the Company’s statements to investors that scientific research did not support a correlation between Zantac and cancer, the Deutsche Bank report forecasted that total liability could be between $5 billion and $10 billion. On this news, the price of GSK’s ADRs fell $4.30 per ADR, or more than 10%. Then, on August 15, 2022, the Company disclosed that its liability exposure was between $1 billion and $10 billion. As a result of these disclosures, the price of GSK ADRs declined precipitously. On this news, the price of GSK’s ADRs fell an additional $1.08 per ADR, or 3%.
The case is Roofers Local No. 149 Pension Fund v. GSK plc, No. 25-cv-618.