Printer Friendly

COPLEY PHARMACEUTICAL, INC. ANNOUNCES LITIGATION

 CANTON, Mass., April 23 /PRNewswire/ -- Copley Pharmaceutical, Inc. (NASDAQ: CPLY) announced today that three former stockholders of the company filed a lawsuit against the company and certain of its officers and directors in the United States District Court for the Southern District of New York on April 22, 1993. Ladenburg, Thalmann & Co., Inc., which acted as financial advisor to the plaintiffs, was also named as a defendant. The complaint alleges that the company and certain of its officers and directors committed fraud and breached their fiduciary duties to the plaintiffs in connection with the company's November 1991 repurchase of 75,000 shares of common stock from the plaintiffs by making false and misleading statements and failing to disclose material facts regarding the company and its prospects.
 As to Ladenburg, Thalmann, which acted as financial advisor and attorney-in-fact for the plaintiffs in the November 1991 transaction and was a warrant holder, the complaint also alleges breach of fiduciary duty and failure to perform adequate due diligence. The company has been informed that Ladenburg, Thalmann and certain other former stockholders of the company may commence a lawsuit, based on similar allegations, against the company. An aggregate of 3,420,379 shares of common stock and warrants to purchase common stock were repurchased in the November 1991 transaction.
 The complaint seeks monetary damages of at least $4.5 million, rescission of the November 1991 repurchase, unspecified punitive damages and costs, disbursements and attorneys' fees. The company and its officers and directors deny the allegations in the complaint and intend vigorously to defend this lawsuit.
 Copley Pharmaceutical, Inc. develops, manufactures and markets a broad range of off-patent (generic) prescription and over-the-counter pharmaceutical products in a variety of dosage forms and strengths, including extended release products.
 -0- 4/23/93
 /CONTACT: Steven N. Tannenbaum, executive vice president-finance of Copley Pharmaceutical, Inc., 617-821-1111/
 (CPLY)


CO: Copley Pharmaceutical, Inc. ST: Massachusetts IN: MTC SU:

SJ -- NE016 -- 0291 04/23/93 17:29 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 23, 1993
Words:326
Previous Article:UPTON MAN SENTENCED FOR MAIL FRAUD AND CONSPIRACY TO DEFRAUD CITICORP MORTGAGE
Next Article:TEXAS EASTERN TRANSMISSION CORPORATION RECEIVES JUNE 1 IMPLEMENTATION DATE FOR ORDER 636 SERVICES
Topics:


Related Articles
MARION MERRELL DOW ANNOUNCES SETTLEMENT WITH GENERIC MAKER ON LOOK-ALIKE TABLETS
COPLEY PHARMACEUTICAL, INC. RESPONDS TO REPORTED LITIGATION
MARION MERRELL DOW AND TANABE SEIYAKU FILE INTERNATIONAL TRADE COMPLAINT AGAINST CARDIZEM IMITATORS
COPLEY PHARMACEUTICAL, INC. REPORTS SECOND QUARTER RESULTS
COPLEY PHARMACEUTICAL, INC. ANNOUNCES SETTLEMENT OF SHAREHOLDER LITIGATION
COPLEY ANNOUNCES SHAREHOLDER LITIGATION
Warner-Lambert Files Suit Against Copley
Copley Pharmaceutical, Inc. Announces Cost Reduction Initiatives
Copley Enters Plea
Copley Pharmaceutical Named in Shareholder Derivative Suit

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters