Core Viewpoint - Perrigo Company plc is facing a class action lawsuit due to alleged securities fraud related to its infant formula business, which has experienced significant operational challenges and financial underperformance since its acquisition of Nestlé's Gateway infant formula plant [11]. Group 1: Acquisition and Financial Performance - In November 2022, Perrigo acquired Nestlé's Gateway infant formula plant and the rights to the Good Start brand for $170 million [3]. - The company reported fiscal year 2023 earnings on February 27, 2024, indicating a 50% decline in earnings per share compared to the previous year, attributed to remediation costs in the infant formula business [4]. - Following the earnings report, Perrigo's share price dropped by $4.87, or 15.14%, closing at $27.30 on February 27, 2024 [5]. Group 2: Ongoing Challenges and Market Reactions - On May 7, 2024, Perrigo reported a 34.5% decrease in net sales to $91 million for the first quarter, alongside a decline in gross margin [6]. - The share price fell by $3.28, or 9.8%, to close at $30.15 on May 7, 2024, following this announcement [7]. - On August 6, 2025, Perrigo disclosed that production issues led to scrapping approximately $11 million of inventory, resulting in a share price drop of $3.01, or 11.31%, to close at $23.61 [8]. Group 3: Strategic Review and Outlook Adjustments - On November 5, 2025, Perrigo announced a strategic review of its infant formula business and revised its fiscal year 2025 outlook, cutting net sales growth guidance to -2.5% to -3% from a previous expectation of 0% to 3% [9]. - The expected adjusted diluted earnings per share was also reduced to a range of $2.70 to $2.80, down from $2.90 to $3.10, indicating a significant cut in growth expectations [9]. - Following this news, Perrigo's stock price fell by $5.09, or 25.2%, closing at $15.10 per share on November 5, 2025 [10]. Group 4: Lawsuit Details - The class action lawsuit alleges that Perrigo made materially false and misleading statements regarding its business operations and failed to disclose significant issues within the acquired infant formula business [11]. - Specific allegations include underinvestment in maintenance and operational improvements, the need for substantial capital expenditures for remediation, and overstated financial results [11]. - Investors who purchased Perrigo securities during the class period are encouraged to participate in the lawsuit, with a deadline to file a lead plaintiff motion by January 16, 2026 [12].

Nov 19, 2025 12:06 PM Eastern Standard Time Law Offices of Frank R. Cruz Encourages Perrigo Company plc (PRGO) Shareholders To Inquire About Securities Fraud Class Action Share IF YOU SUFFERED A LOSS ON YOUR PERRIGO COMPANY PLC (PRGO) INVESTMENTS, CLICK HERE TO SUBMIT A CLAIM TO POTENTIALLY RECOVER YOUR LOSSES IN THE ONGOING SECURITIES FRAUD LAWSUIT. You can also contact the Law Offices of Frank R. Cruz to discuss your legal rights by email at info@frankcruzlaw.com, by telephone at (310) 914-5007, or visit ...

Core Viewpoint - A class action lawsuit has been filed against Perrigo Company plc for securities fraud, alleging that the company made misleading statements regarding its infant formula business and failed to disclose significant operational issues [1][11]. Summary by Sections Lawsuit Details - The lawsuit was filed in the U.S. District Court for the Southern District of New York on behalf of shareholders who acquired Perrigo securities between February 27, 2023, and November 4, 2025 [1]. - Plaintiffs are pursuing claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 [1]. Financial Performance and Issues - In November 2022, Perrigo acquired Nestlé's Gateway infant formula plant and the rights to the Good Start brand for $170 million [3]. - On February 27, 2024, Perrigo reported a 50% decline in earnings per share compared to the previous year, attributing this to remediation costs in the infant formula business, which were estimated to be an additional $35 million to $45 million [4]. - Following this announcement, Perrigo's share price fell by $4.87, or 15.14%, closing at $27.30 [5]. - On May 7, 2024, the company reported a 34.5% decrease in net sales for the first quarter, with gross margin declining by 90 basis points [6]. - The share price dropped by $3.28, or 9.8%, to close at $30.15 on the same day [7]. - On August 6, 2025, Perrigo disclosed that production issues led to scrapping approximately $11 million of inventory, resulting in a share price decline of $3.01, or 11.31%, to close at $23.61 [8]. - On November 5, 2025, Perrigo announced a strategic review of its infant formula business and slashed its fiscal year 2025 outlook, cutting net sales growth guidance to -2.5% to -3% from a previous expectation of 0% to 3% [9]. - The stock price fell by $5.09, or 25.2%, to close at $15.10 on the same day [10]. Allegations in the Lawsuit - The lawsuit alleges that Perrigo's management made materially false and misleading statements and failed to disclose adverse facts about the infant formula business, including: 1. Significant underinvestment in maintenance and operational improvements [11]. 2. The need for substantial capital expenditures beyond stated estimates for remediation [11]. 3. Manufacturing deficiencies in the infant formula facility [11]. 4. Overstated financial results, including earnings and cash flow [11]. 5. Misleading positive statements regarding the company's business and prospects [11].