Pomerantz Law Firm Initiates Class Action Against Biohaven Ltd. Over Securities Violations
On August 16, 2025, Pomerantz LLP officially announced the filing of a class action lawsuit against Biohaven Ltd. and certain of its officers, marking a significant legal event for the biopharmaceutical company. This lawsuit has been registered in the United States District Court for the District of Connecticut, identified by the docket number 25-cv-01120. The class action is on behalf of all individuals and entities, excluding the defendants, who purchased or acquired Biohaven securities between March 24, 2023, and May 14, 2025, collectively referred to as the "Class Period." The main objective of this lawsuit is to seek compensation for damages resulting from the defendants' alleged violations of federal securities laws.
Specifically, the legal action aims to seek remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 as well as Rule 10b-5, which were allegedly breached by Biohaven and its key officials. For investors affected during the Class Period, there is a deadline of September 12, 2025, to apply for appointment as Lead Plaintiff in the class action. Additionally, prospective class members can obtain a copy of the complaint through the Pomerantz LLP website.
Biohaven Ltd. is known as an innovative biopharmaceutical firm focusing on medical therapy development in the fields of immunology, neuroscience, and oncology. One of the leading products the company is exploring is troriluzole, which is intended for treating conditions such as spinocerebellar ataxia (SCA), among other applications. Another notable candidate is BHV-7000 aimed at addressing bipolar disorder. However, the path for these treatments has been fraught with challenges. Notably, a Phase 3 trial for the efficacy of troriluzole as a treatment option for SCA failed to meet its primary endpoint in May 2022. Despite this setback, the company continued to advocate for the drug's promise based on supplementary analyses and emerging data.
In May 2023, Biohaven announced the submission of a New Drug Application (NDA) for troriluzole to the U.S. Food and Drug Administration (FDA), which marked a crucial step for the drug. The following October, the European Medicines Agency (EMA) accepted Biohaven's Marketing Authorization Application (MAA) for the same medication. Yet throughout this process, the defendants allegedly misrepresented critical information regarding the company's operations and future prospects.
Key allegations within the class action state that the defendants falsely claimed that the regulatory prospects for troriluzole as a treatment option for SCA were solid and overstated the data's sufficiency supporting its approval. Furthermore, they allegedly provided misleading statements regarding the effectiveness and clinical availability of BHV-7000 for bipolar disorder. The truth of these statements would inevitably affect the company’s financial standing once revealed.
In July 2023, the gravity of these claims came to light when Biohaven disclosed that the FDA rejected the NDA for troriluzole, resulting in a significant decline in its stock price—dropping $5.38 per share, marking a 22.61% decrease within the same day. Following this, additional negative news nourished the implications of the defendants' alleged misconduct. On multiple occasions throughout 2024 and early 2025, Biohaven's stock responded negatively to announcements around further failures or delays in drug approvals, culminating in a series of sharp declines on significant dates.
The initial rejection by the FDA led to an overall feeling of uncertainty around Biohaven's future and its financial performance. For instance, when the company disclosed that the EMA had withdrawn its MAA at the end of March 2025, the stock price saw a further drop. Similarly, the delay announced in May 2025 about the FDA's review of the NDA caused the stock to plummet again.
Pomerantz LLP, founded by Abraham L. Pomerantz, is well recognized for its expertise in corporate, securities, and antitrust class action litigation. For over 85 years, the firm has been dedicated to defending the rights of investors harmed by securities fraud, breaches of fiduciary duties, and corporate malfeasance. The firm holds track records of successfully securing significant damages for class members and remains committed to ensuring justice for shareholders affected by illegal activities in the public markets.
Investors who believe they hold shares affected by this class action are encouraged to reach out to Pomerantz LLP using the contact information provided to explore their options and participate in the proceedings.
Specifically, the legal action aims to seek remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 as well as Rule 10b-5, which were allegedly breached by Biohaven and its key officials. For investors affected during the Class Period, there is a deadline of September 12, 2025, to apply for appointment as Lead Plaintiff in the class action. Additionally, prospective class members can obtain a copy of the complaint through the Pomerantz LLP website.
Biohaven Ltd. is known as an innovative biopharmaceutical firm focusing on medical therapy development in the fields of immunology, neuroscience, and oncology. One of the leading products the company is exploring is troriluzole, which is intended for treating conditions such as spinocerebellar ataxia (SCA), among other applications. Another notable candidate is BHV-7000 aimed at addressing bipolar disorder. However, the path for these treatments has been fraught with challenges. Notably, a Phase 3 trial for the efficacy of troriluzole as a treatment option for SCA failed to meet its primary endpoint in May 2022. Despite this setback, the company continued to advocate for the drug's promise based on supplementary analyses and emerging data.
In May 2023, Biohaven announced the submission of a New Drug Application (NDA) for troriluzole to the U.S. Food and Drug Administration (FDA), which marked a crucial step for the drug. The following October, the European Medicines Agency (EMA) accepted Biohaven's Marketing Authorization Application (MAA) for the same medication. Yet throughout this process, the defendants allegedly misrepresented critical information regarding the company's operations and future prospects.
Key allegations within the class action state that the defendants falsely claimed that the regulatory prospects for troriluzole as a treatment option for SCA were solid and overstated the data's sufficiency supporting its approval. Furthermore, they allegedly provided misleading statements regarding the effectiveness and clinical availability of BHV-7000 for bipolar disorder. The truth of these statements would inevitably affect the company’s financial standing once revealed.
In July 2023, the gravity of these claims came to light when Biohaven disclosed that the FDA rejected the NDA for troriluzole, resulting in a significant decline in its stock price—dropping $5.38 per share, marking a 22.61% decrease within the same day. Following this, additional negative news nourished the implications of the defendants' alleged misconduct. On multiple occasions throughout 2024 and early 2025, Biohaven's stock responded negatively to announcements around further failures or delays in drug approvals, culminating in a series of sharp declines on significant dates.
The initial rejection by the FDA led to an overall feeling of uncertainty around Biohaven's future and its financial performance. For instance, when the company disclosed that the EMA had withdrawn its MAA at the end of March 2025, the stock price saw a further drop. Similarly, the delay announced in May 2025 about the FDA's review of the NDA caused the stock to plummet again.
Pomerantz LLP, founded by Abraham L. Pomerantz, is well recognized for its expertise in corporate, securities, and antitrust class action litigation. For over 85 years, the firm has been dedicated to defending the rights of investors harmed by securities fraud, breaches of fiduciary duties, and corporate malfeasance. The firm holds track records of successfully securing significant damages for class members and remains committed to ensuring justice for shareholders affected by illegal activities in the public markets.
Investors who believe they hold shares affected by this class action are encouraged to reach out to Pomerantz LLP using the contact information provided to explore their options and participate in the proceedings.
Topics Financial Services & Investing）
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