September 24, 2021. Novo Nordisk agreed to pay $100 million to end a securities class action lawsuit that was brought against the company in the District Court of New Jersey. Plaintiffs alleged that Novo Nordisk made material misrepresentations and omissions about factors that impacted Novo Nordisk’s U.S. diabetes business segment. Professor Steven Feinstein of Babson College and Crowninshield Financial Research provided expert testimony and reports on market efficiency and loss causation and damages, and consulted on the plan of allocation.
“Defendants do not challenge Dr. Feinstein’s qualifications. His credentials and experience qualify him to offer an expert opinion in this case. Additionally, this Court has previously found Dr. Feinstein to be credible to offer expert opinions on market efficiency, loss causation, and damages in securities-fraud cases. … Dr. Feinstein’s event study approach has been approved as a methodology in previous cases. … Dr. Feinstein’s model isolates and identifies the artificial inflation for those who purchased Novo shares during the Class Period.”
Opinion Granting Plaintiffs’ Motion to Certify Class, filed January 31, 2020.
Additional information is available at Bloomberg Law.
