The Law Offices of Frank R. Cruz reminds investors of the upcoming December 8, 2023 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who acquired Kenvue Inc. (“Kenvue” or the “Company”) (NYSE: KVUE) securities pursuant and/or traceable to the registration statement and related prospectus (collectively, the “Registration Statement”) issued in connection with the Company’s May 2023 initial public offering (the “IPO” or “Offering”).
If you are a shareholder who suffered a loss, click here to participate.
Kenvue was previously the consumer health division of Johnson & Johnson. In May 2023, Kenvue conducted an IPO, offering approximately 171,812,560 shares of Kenvue common stock to the investing public at $22.00 per share. The IPO was predicated on the Company and its products, including phenylephrine (“PE”) being viable.
Soon after the IPO, however, an FDA panel unanimously voted to declare oral formulations of PE ineffective for relieving nasal congestion and published its findings in a document called “Efficacy of Oral Phenylephrine as a Nasal Decongestant.” The FDA disclosed that it had been evaluating data on the efficacy of oral PE since December of 2007.
On this news, Kenvue’s stock declined by $1.01 per share, or 4.58%, to close at $21.06 on September 12, 2023, injuring investors. It has not gone above the $22.00 IPO price since.
The complaint filed in this class action alleges that the Registration Statement contained materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Kenvue faces potential headwinds as a result of confirmed concerns about the efficacy of phenylephrine, which it knew or should have known; (2) Kenvue did not discuss risks relating to the efficacy of phenylephrine in its IPO, the utility of which had been questioned since at least 2007; (3) while the Company disclosed risks relating to litigation, it did not disclose specific risk relating to potential litigation arising from adverse findings on the efficacy of phenylephrine; and (4) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
Follow us for updates on Twitter: twitter.com/FRC_LAW.
If you purchased or otherwise acquired Kenvue securities pursuant and/or traceable to the IPO, you may move the Court no later than December 8, 2023 to request appointment as lead plaintiff in this putative class action lawsuit. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 2121 Avenue of the Stars, Suite 800, Century City, California 90067 at 310-914-5007, by email to email@example.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.