Investors Take Note: Neogen Corporation Faces Securities Fraud Lawsuit from Schall Law Firm

Investors Have an Opportunity with Neogen Corporation's Case

The Schall Law Firm, known for advocating shareholder rights, recently alerted investors about a class action lawsuit against Neogen Corporation (NASDAQ: NEOG). The firm aims to assist shareholders who acquired Neogen securities during a specific period marked by significant legal concerns regarding the company's operational integrity. This article outlines the critical details surrounding the lawsuit and what affected investors can do moving forward.

Understanding the Allegations

The lawsuit against Neogen centers on alleged violations of the Securities Exchange Act of 1934, particularly under sections 10(b) and 20(a), alongside SEC Rule 10b-5. These regulations are essential in safeguarding investors by preventing fraud and establishing a level playing field for all market participants. According to the complaint filed, the company made several misleading statements regarding its integration of the former 3M food safety division.

Initially, Neogen advertised that this integration was progressing seamlessly, suggesting an optimistic outlook for future financial performance. However, as the class period (January 5, 2023, to June 3, 2025) progressed, serious operational inefficiencies emerged, which the company later acknowledged, admitting that integration issues may have contributed to a significant decline in profit margins.

What Should Investors Do?

For those who purchased Neogen's securities within the defined class period and saw their investment suffer, the Schall Law Firm encourages engagement before September 16, 2025, to explore options for participation in the case. Affected shareholders can directly reach out to the firm without any charge to discuss their rights and the potential for recovering losses during this turbulent period for the company.

Participation does not incur immediate legal costs, and those interested can verify their eligibility through the firm’s website or by contacting them via provided contact details. This is particularly important as the class action has yet to receive formal certification, meaning participants currently do not have legal representation in the suit until certification occurs.

Timeline of Events

Formal disclosures from Neogen indicated challenges with its integration strategies, admitting to market inefficiencies at a critical juncture. On June 4, 2025, the company faced backlash after revealing a substantial decline in their profit margins, prompting many investors to reevaluate their positions and seek recourse. The Court system will ultimately weigh in on whether the allegations hold sufficient merit to move forward with the class action.

Investors must remain vigilant, as such lawsuits can often take time to resolve, and maintaining active involvement can be crucial for recovery. Those opting not to join can remain as absent members of the class, potentially losing the opportunity to reclaim lost funds.

Conclusion

The allegations against Neogen Corporation serve as a reminder of the risks associated with investing, particularly in volatile sectors such as food safety and biotechnology. Shareholder rights and the integrity of the markets must be preserved. If you believe you have been adversely affected, consider reaching out to the Schall Law Firm to explore your options further and understand your legal rights in this unfolding situation.

The Schall Law Firm continues to represent investors globally, focusing on holding companies accountable for their actions. For further inquiries and to discuss your potential role in this case, you can visit their website or contact their office directly. Taking proactive steps might be imperative for those affected by Neogen's alleged misstatements, paving the way toward potential recovery of losses.