NEW YORK, Aug. 26, 2025 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed on behalf of investors who acquired Neogen Corporation (“Neogen” or the “Company”) (NASDAQ: NEOG) securities during the period of January 25, 2023 through June 3, 2025, inclusive (“the Class Period”).
If you suffered a loss on your Neogen investments, you have until September 16, 2025 to request lead plaintiff appointment. Follow the link below for more information:
[CONTACT THE FIRM IF YOU SUFFERED A LOSS]
What Happened?
On January 10, 2025, Neogen revealed that GAAP net income in the second quarter was significantly negative due to a $461 million non-cash goodwill impairment charge related to the acquisition of food safety business of 3M and cut its FY25 revenue and EBITDA guidance. Neogen also revealed that, as of November 30, 2024, the Company had material weaknesses in its internal control over financial reporting. On this news, the price of Neogen shares declined by approximately 5%, from $13.07 on January 8, 2025 to close at $12.36 per share on January 10, 2025.
On April 9, 2025, Neogen announced that quarterly revenue fell 3.4% to $221 million due to integration issues and again cut its FY25 guidance and noted that capital expenditures were expected to be $100 million as a result of lowered adjusted EBITDA and a pull-forward of integration-related capital expenditures into FY25. Neogen also announced that CEO John Adent would be stepping down. On this news, the price of Neogen shares declined by approximately 28%, from $7.04 on April 8, 2025 to close at $5.02 per share on April 9, 2025.
On June 4, 2025, Neogen disclosed a material decline in EBITDA margin, which the Company blamed “elevated inventory writeoffs.” On this news, the price of Neogen shares declined by approximately 17%, from $6.00 on June 3, 2025 to close at $4.96 per share on June 4, 2025.
What Is The Lawsuit About?
The lawsuit alleges that throughout the Class Period, Neogen misrepresented the status of the 3M integration and failed to disclose the negative impact of integration issues on the financial health of the Company, which led investors to believe that the integration was progressing smoothly. Neogen downplayed integration “inefficiencies” and assured investors that they were fully aware and committed to resolving the issues quickly.
What should I do?
If you purchased or otherwise acquired Neogen securities, have information, or would like to learn more about this investigation, please contact Thomas W. Elrod of Kirby McInerney LLP by email at investigations@kmllp.com, or fill out the contact form below, to discuss your rights or interests with respect to these matters at no cost.
[CLICK HERE TO INQUIRE ABOUT THE CLASS ACTION]
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s 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 LLP’s website.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contacts
Kirby McInerney LLP
Thomas W. Elrod, Esq.
212-699-1180
https://www.kmllp.com
investigations@kmllp.com
