The Baltimore-based company Emergent BioSolutions (NYSE:EBS) is the subject of at least four lawsuits asking for refunds and pushing for change in the company’s executive ranks. Some of the lawsuits targeting Emergent accuse the company of securities fraud and insider trading.
Emergent has denied the allegations. “Our executives strictly follow the law and our own internal policies to prevent any improper securities trading,” Emergent spokesperson Matt Hartwig told The New York Times.
In any event, the past year has not been kind to Emergent BioSolutions, the multinational biopharma company focused on vaccines and antibody therapeutics.
After initially scoring the support of Johnson & Johnson (NYSE:JNJ) and AstraZeneca (LON:AZN) to manufacture their respective COVID-19 vaccines, the company saw its stock leap to a peak value of $133.42 on Aug. 14, 2020.
In afternoon trading today, its stock’s value was $61.87.
The drop in valuation resulted from a factory mishap that forced Emergent to toss 75 million doses of J&J COVID-19 vaccines over potential contamination.
In April, the FDA released a scathing report after touring the Emergent plant initially employed to manufacture vaccines from Johnson & Johnson and AstraZeneca. Since then, however, the agency has authorized some 40 million doses of the J&J vaccine produced at the Emergent facility.
The company is also the subject of an investigation from the House Committee on Oversight and Reform.