SHAREHOLDER ALERT- Bronstein, Gewirtz & Grossman, LLC Notifies Investors of Class Action Against Tesaro, Inc. (TSRO) and Lead Plaintiff Deadline - January 9, 2019
NEW YORK, Dec. 03, 2018 (GLOBE NEWSWIRE) -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC notifies investors that a class action lawsuit has been filed against Tesaro, Inc. (“Tesaro” or the “Company”) (NASDAQ: TSRO) and certain of its officers, on behalf of shareholders who purchased Tesaro securities during the period between November 4, 2016 through November 14, 2016, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: http://www.bgandg.com/tsro.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
On July 7, 2016, Tesaro announced the closing of a previously announced underwritten public offering of common stock, pursuant to which the Company sold 5,347,500 shares at an offering price to the public of $81.00 per share (the “July Offering”). In a press release, Tesaro advised investors that the net proceeds from the July Offering would be approximately $409 million.
On November 4, 2016, Tesaro filed a quarterly report on Form 10-Q with the SEC, reporting the Company’s financial and operating results for the quarter ended September 30, 2016 (the “Q3 2016 10-Q”). The Q3 2016 10-Q stated, inter alia, that “[o]ur balance of cash and cash equivalents as of September 30, 2016, and the cash we expect to generate from sales of VARUBI, are expected to be sufficient to meet our existing cash flow requirements and fund our existing operations at their currently planned levels through at least the twelve months.”
The complaint alleges that throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that: (1) notwithstanding the completion of the July Offering, Tesaro’s liquidity position was insufficient to meet its cash flow requirements and fund its existing operations; (2) accordingly, unbeknownst to investors, an additional public offering of Tesaro common stock was imminent; and (3) as a result, Tesaro’s public statements were materially false and misleading at all relevant times.
Aftermarket close on November 14, 2016—less than four months after the July Offering, and just ten days after assuring investors that VARUBI sales would be sufficient to fund the Company’s cash flow requirements and necessary operational funding for the next 12 months—Tesaro abruptly announced another proposed public offering (the “November Offering”). In a press release, Tesaro stated that the Company had “commenced an underwritten public offering of 1,750,000 shares of its common stock”, “pursuant to its automatic shelf registration statement on Form S-3 filed with the [SEC] on June 30, 2016.” That same day, Tesaro filed a preliminary prospectus supplement and related prospectus for the November Offering with the SEC.
Then, on November 15, 2016, Tesaro issued a second press release, announcing that the offering price for the November Offering would be $135.00 per share—roughly 9%, lower than the price of Tesaro stock at market close on November 14, 2016 ($148.50), the last trading session prior to the announcement of the November Offering.
Following these announcements, Tesaro’s share price plunged $17.46 per share, or roughly 11.76%, to close at $131.04 on November 15, 2016, wiping out approximately $607 million in shareholder value.
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint you can visit the firm’s site: http://www.bgandg.com/tsro or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. If you suffered a loss in Tesaro you have until January 9, 2019 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm’s expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Contact:Bronstein, Gewirtz & Grossman, LLC Peretz Bronstein or Yael Hurwitz 212-697-6484 | firstname.lastname@example.org