Wolf Popper LLP Announces Investigation on Behalf of Investors in Salix Pharmaceuticals Ltd.
NEW YORK, Nov. 10, 2014 /PRNewswire/ -- Wolf Popper LLP is investigating potential claims on behalf of investors in Salix Pharmaceuticals Ltd. ("Salix") common stock (NASDAQ: SLXP) during the period May 10, 2013 through November 6, 2014, concerning possible violations of federal securities laws. Such investors are advised to contact Fei-Lu Qian at 877.370.7703 or [email protected].
On November 6, 2014, Salix disclosed that the wholesaler inventory levels for some of its major drugs is 9 months of sales and that it lacked "distribution service arrangements with wholesalers," which is causing "difficulty in forecasting revenue on a quarter to quarter basis." Consequently, Salix revised its 2014 product revenue forecast to $1.4 billion from an earlier forecast of $1.6 billion and lowered its net income guidance for 2014 to $5.20 per share, from an earlier guidance of $6.16 per share. In addition, Salix announced the immediate resignation of its Chief Financial Officer. This is a stark contrast to the Company's earlier representations that the wholesale inventory levels for its drugs had been only 10 to 12 weeks of sales.
On the news, Salix common stock declined $47.08 per share or nearly 34%, to close at $91.47 per share on November 7, 2014. At least one analyst downgraded Salix common stock because it can "no longer have faith in SLXP's past demand or inventory calculations."
Wolf Popper LLP has extensive experience representing shareholders in securities class actions and has successfully recovered billions of dollars for defrauded investors. The reputation and expertise of the firm in representing shareholders has been repeatedly recognized by the courts, which have appointed the firm to major positions in securities litigation. See www.wolfpopper.com
Attorney Advertising: Prior Results Do Not Guarantee A Similar Outcome.
Wolf Popper LLP
Fei-Lu Qian
845 Third Avenue
New York, NY 10022
Tel.: 877.370.7703
Fax: 877.370.7704
Email: [email protected]
SOURCE Wolf Popper LLP
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