NEW YORK, April 17, 2025 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Merck & Co., Inc. (NYSE: MRK) on behalf of long-term stockholders following a class action complaint that was filed against Merck on February 12, 2025 with a Class Period from February 3, 2022, to February 3, 2025. Our investigation concerns whether the board of directors of Merck have breached their fiduciary duties to the company.
The Merck class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) defendants created the false impression that they possessed reliable information pertaining to Merck's projected revenue outlook and anticipated growth of Gardasil while also minimizing risk from competition and drug approval development, such as China's approval to shift Gardasil to a 2-dose regimen; (ii) in truth, Merck's optimistic reports of growth, claims of successful consumer activation and education in China, overall ability to drive demand, and efforts to downplay the impact of competition on Gardasil fell short of the reality; and (iii) Merck's ability to push Gardasil in China had materially diminished.
The Merck class action lawsuit further alleges that on July 30, 2024, Merck revealed that in the second quarter of 2024 "there was a significant step down in shipments from our distributor and commercialization partner, Zhifei, into the points of vaccination, compared with prior quarters, resulting in above normal inventory levels at Zhifei." On this news, the price of Merck stock fell nearly 10%, according to the complaint.
Then, on February 4, 2025, the Merck class action lawsuit alleges that Merck published its fourth quarter fiscal year 2024 results, disclosing that "GARDASIL/GARDASIL 9 Sales Declined 3% to $8.6 Billion; Excluding the Impact of Foreign Exchange, Sales Declined 2%" "primarily due to lower demand in China, partially offset by higher demand in most international regions, particularly in Japan." On this news, the price of Merck stock fell more than 9%, according to the complaint.
If you are a long-term stockholder of Merck, have information, 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 Brandon Walker or Marion Passmore by email at investigations@bespc.com, by telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.
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Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York and California. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
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Contact Information:
Bragar Eagel & Squire, P.C.
Brandon Walker, Esq.
Marion Passmore, Esq.
(212) 355-4648
investigations@bespc.com
www.bespc.com