Novo Nordisk reached a settlement for $100 million in shareholder class action insulin pricing opaque

CompilationAspirin

On September 24, 2021, in a 2017 lawsuit filed in the Federal District Court of New Jersey after shareholders claimed that the insulin pricing disclosed by them was opaque, Novo Nordisk agreed to pay the plaintiff a settlement agreement of US$100 million

Although the Danish drugmaker agreed to pay a huge sum of money to settle the lawsuit, it insisted that the move was not an admission of wrongdoing

About 260 pension fund companies file class actions

This is a class action filed by about 260 pension fund companies, claiming a total of 11.

The plaintiff believes that Novo Nordisk failed to truthfully disclose all the truth behind the company's increased revenue in the United States between 2015 and 2017

These pension fund management companies are all purchasers of American Depository Receipts (ADR)

The price war for insulin

In the United States, the relationship between pharmaceutical manufacturers and pharmacy welfare managers (PBM) has always been in love and killing each other.

PBM is mainly responsible for the development and maintenance of formulary, signing contracts with pharmacies, negotiating discounts and rebates with pharmaceutical companies, and processing and paying for prescription drug claims, such as CVS's Caremark and MedImpact Healthcare Systems

Reference source:

1.

2.

3.