Elanco Animal Health Faces Investor Scrutiny Over Product Launch Timelines

Elanco Animal Health Incorporated (NYSE: ELAN) is currently under investigation by prominent shareholder rights firm Hagens Berman regarding the accuracy of its previous statements regarding the commercial launch timelines for two key products. These products, Zenrelia, a dermatology treatment for pets, and Credelio Quattro, a broad-spectrum parasiticide, were touted by Elanco as potential “blockbusters.”

On May 8, 2024, Elanco assured investors that both products had made significant progress through the FDA approval process. The company expressed confidence that the FDA possessed all necessary data and expected complete technical section and label approvals by the end of June 2024. Elanco projected a launch of Zenrelia in the third quarter and Credelio Quattro in the fourth quarter of 2024. This news led to a substantial increase of over 24% in Elanco’s share price on May 8th.

However, on June 27, 2024, Elanco revised its launch timelines significantly. The company now anticipates a fourth-quarter launch for Zenrelia, with a label carrying a “boxed warning on safety” due to trial results involving unvaccinated dogs. This warning is expected to impact the product’s adoption rate. Additionally, Elanco disclosed that the FDA deemed Credelio Quattro’s New Animal Drug Application (NADA) incomplete, pushing the targeted launch date to the first quarter of 2025. This revised timeline announcement caused a significant decline in Elanco’s share price, dropping over 20% on June 27, 2024.

The discrepancy between Elanco’s prior assurances and the revised timelines has prompted Hagens Berman to open an investigation into whether Elanco may have misled investors about Zenrelia’s safety and the completeness of the Credelio Quattro NADA. Reed Kathrein, the Hagens Berman partner leading the investigation, stated, “We’re investigating whether Elanco may have misled investors about Zenrelia’s safety and the completeness of the Credelio Quattro NADA.”

Investors who suffered substantial losses are urged to submit their losses to Hagens Berman for investigation. More information and answers to frequently asked questions about the Elanco case and the investigation can be found on the Hagens Berman website.

About Elanco Animal Health Incorporated:
Elanco Animal Health Incorporated is a leading global animal health company that develops and markets products for both companion animals and livestock. The company is committed to improving the health and well-being of animals through innovative solutions and partnerships.

About Hagens Berman:
Hagens Berman is a global plaintiffs’ rights complex litigation firm that focuses on corporate accountability. The firm represents investors, whistleblowers, workers, consumers, and others in cases involving corporate negligence and other wrongdoings. With a track record of securing over $2.9 billion in settlements, Hagens Berman is dedicated to achieving real results for those harmed by corporate misconduct.

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