Aegerion Pharmaceuticals (AEGR) Files Chapter 11 Bankruptcy Protection
Have you suffered losses investing in Aegerion Pharmaceuticals? If so, the securities attorneys at The White Law Group may be able to help you by filing a FINRA Dispute Resolution claim against the brokerage firm that sold you the investment.
Aegerion Pharmaceuticals reportedly became a subsidiary of Novelion Therapeutics after it merged with QLT in 2016. Two years later, a federal judge reportedly ordered Aegerion to pay $40 million based on allegations that it illegally marketed the drug Juxtapid.
The company reportedly filed for bankruptcy protection on May 20, 2019, after purportedly taking a loan of more than $70 million from Highbridge Capital Management and Athyrium Capital Management in November 2018.
In September 2019, Amryt Pharma bought Aegerion with approval from the bankruptcy court. Consequently, its parent company, Novelion, will reportedly cease to have any ongoing business operations or sources of revenue.
Recovery of Investment Losses
The problem with pharmaceutical stocks such as Aegerion Pharmaceuticals is that they can involve a high degree of risk. The research and development process for pharma companies often involves costly and lengthy clinical testing trials that yield specific data. If the expected data or end points are not met, the stock can drop drastically. Without a strong understanding of the company and its basic operations, investors may be looking at serious losses.
The White Law Group is investigating the liability that FINRA registered brokerage firms may have for improperly recommending high-risk pharma stocks, like Aegerion Pharmaceuticals to investors.
Broker dealers are required to perform adequate due diligence on any investment they recommend and to ensure that all recommendations are suitable for the investor. Firms that fail to do so, may be held responsible for any losses in a FINRA arbitration claim.
If you have concerns regarding investment losses in Aegerion Pharmaceuticals, please call the securities attorneys at The White Law Group for a free consultation at 888-637-5510.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on The White Law Group and its representation of investors in FINRA arbitration claims, visit https://www.whitesecuritieslaw.com.