Viatris Inc. (VTRS) Investigation

The investigation focuses on the propriety of Viatris’ disclosures to its investors about the FDA’s inspections of the company’s manufacturing facility in Indore, India.

On December 19, 2024, the FDA wrote a letter to Viatris’ CEO (Scott A. Smith) warning him and the company concerning the regulator’s inspection of Viatris’ drug manufacturing facility in Indore, India that the FDA inspected six months earlier from June 14 to June 26, 2024. The FDA advised “[b]ecause your methods, facilities, or controls for manufacturing, processing, packing, or holding do not conform to [Current Good Manufacturing Practice], your drugs are adulterated[.]”

On December 23, 2024, Viatris revealed that the FDA issued an import alert related to its India facility and that “[f]ollowing the substance of FDA’s original inspection observations, we immediately implemented a comprehensive remediation plan at the site[]” and “[w]e have been in regular communication with FDA during this process and will continue to work to ensure that the Agency is satisfied with the steps we have taken to resolve all the points raised.”

Then, on February 27, 2025, Viatris disclosed to its investors that it expected a significant decline in 2025 revenues, primarily due to the Indore, India facility issues. The company quantified the adverse 2025 “negative impact from the Indore [India] facility of $500 million to total revenues and $385 million to adjusted EBITDA” This revelation drove the price of Viatris shares down about 15%, wiping out over $2 billion of shareholder value in a single day.

FREQUENTLY ASKED QUESTIONS ABOUT THE CASE

What is the VTRS investigation about?

We are investigating whether Viatris may have misled investors about its purported good manufacturing practices and anticipated costs for violations, if any.

WHAT SHOULD I DO?

I worked at VTRS. What should I do?

If you were an employee of VTRS, you may have valuable information that could be relevant to the investigation. Hagens Berman is one of the nation’s top whistleblower law firms, and has successfully represented many individuals who come forward with information regarding corporate malfeasance. Under the new SEC Whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, contact Reed Kathrein at 844-916-0895 or [email protected].

There are multiple law firms participating, do I need to contact all of them?

No, you do not need to contact all participating law firms. Generally, class-action investigations and lawsuits are consolidated into a single case to streamline the legal process, and attorneys from only a few law firms are selected to serve in a leadership role on the consolidated case. Hagens Berman has a proven track record of being appointed to leadership roles in complex, multidistrict litigation regarding investor fraud and other consumer rights issues, and your claim will be handled by attorneys who have helped secure approximately $325 billion in class-action settlements on behalf of individuals who have suffered due to corporate malfeasance and the wrongdoing of other powerful institutions.

AM I ELIGIBLE?

What is the threshold amount to be eligible? What are “substantial” losses?

The threshold amount and the definition of "substantial" losses may vary depending on a number of factors specific to the case, including the size of the company, market cap, shares outstanding and who holds them and the damages alleged by the fraud. In general, to be eligible to participate in a class-action lawsuit, you must be able to demonstrate that you suffered financial losses as a result of the alleged wrongdoing and that your losses meet the criteria set by the court or law firm. Fill out the form and submit your losses.

CAN I PARTICIPATE?

Am I affected? What do I need to do to participate?

If you were an investor in VTRS, you may be affected and eligible to participate in the case. To determine your eligibility and potential involvement, fill out the form and submit your losses.

Can any VTRS investor participate?

In most class-action investigations and cases, any investor who meets the eligibility criteria, including purchasing the shares during the relevant period, can participate, regardless of the size of their investment. Fill out the form to find out your rights.

I bought on a non-U.S. Exchange. Can I participate?

No. This investigation only covers shares bought on a U.S. exchange, i.e. NASDAQ or NYSE. Fill out the form to find out your rights.

Am I included if I still hold my shares, or do I need to sell to participate?

Participation is based on purchasing shares during the relevant period, rather than your current holdings. Accordingly, you do not need to sell to participate. Fill out the form to find out your rights.