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SHAREHOLDER NOTICE: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Organon
Organon & Organon & (US:OGN) GlobeNewswire News Room·2025-06-12 20:53

Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Organon & Co. due to misleading statements regarding its capital allocation strategy, particularly concerning quarterly dividends and debt reduction following the acquisition of Dermavant [3][5]. Group 1: Legal Investigation and Class Action - A federal securities class action has been filed against Organon, with a deadline of July 22, 2025, for investors to seek the role of lead plaintiff [3]. - Investors who purchased Organon securities between October 31, 2024, and April 30, 2025, are encouraged to discuss their legal rights with Faruqi & Faruqi [1][3]. Group 2: Financial Impact and Stock Performance - Organon’s stock price experienced a significant decline, dropping from $12.93 per share on April 30, 2025, to $9.45 per share on May 1, 2025, representing a decrease of over 27% in one day [6]. - The misleading statements regarding capital allocation led to shareholders purchasing securities at artificially inflated prices, which contributed to the stock's sharp decline [5]. Group 3: Company’s Capital Allocation Strategy - Defendants provided positive reassurances about Organon's commitment to regular quarterly dividends as a "1 capital allocation priority" while concealing the prioritization of debt reduction [5]. - The company’s decision to reduce the regular quarterly dividend by 70% was not disclosed to investors, impacting their investment decisions [5].