The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the District of New Jersey on behalf of those who acquired Becton, Dickinson and Company (Becton or the Company) (NYSE: BDX) securities during the period from November 5, 2019 through February 5, 2020. Investors have until April 27, 2020 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
The lawsuit alleges that the Company failed to disclose that: (i) certain of Bectons Alaris infusion pumps experienced software errors and alarm prioritization issues; (ii) as a result, the Company was investing in remediation efforts to address these product issues, rather than a software upgrade to make enhancements; (iii) the Company was reasonably likely to face regulatory delays in connection with the software remediation; and (iv) as a result of the foregoing, Becton was reasonably likely to recall certain of its Alaris infusion pumps.
On February 6, 2020, Becton lowered its fiscal 2020 guidance, expecting revenue to increase by only 1.5 to 2.5 percent, to reflect the impact of the remediation effort and anticipated loss of sales of the Alaris infusion system. According to the Company, the software remediation plan for the Alaris system will require additional regulatory filings, and existing customers would have access to the Alaris System under medical necessity.
On this news, Bectons share price fell $33.74, or 11.8%, to close at $252.25 per share on February 6, 2020.
If you acquired Becton securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600, by email at [email protected], or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs law firm concentrating in securities, antitrust, and whistleblower litigation. The firms efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLPs website: www.kmllp.com.
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