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Home>Glancy Prongay & Murray Announces the Filing of a Securities Class Action on Behalf of Dr. Reddy’s Laboratories, Ltd. Investors and Encourages Investors to Contact the Firm (RDY)

Glancy Prongay & Murray Announces the Filing of a Securities Class Action on Behalf of Dr. Reddy’s Laboratories, Ltd. Investors and Encourages Investors to Contact the Firm (RDY)

Glancy Prongay & Murray Announces the Filing of a Securities Class Action on Behalf of Dr. Reddy’s Laboratories, Ltd. Investors and Encourages Investors to Contact the Firm (RDY)

09/29/2017

Glancy Prongay & Murray Announces the Filing of a Securities Class Action on Behalf of Dr. Reddy’s Laboratories, Ltd. Investors and Encourages Investors to Contact the Firm (RDY)

Glancy Prongay & Murray LLP (“GPM”) announces that a class action lawsuit has been filed on behalf of investors that purchased Dr. Reddy’s Laboratories, Ltd. (“Dr. Reddy’s” or the “Company”) (NYSE: RDY) securities between June 17, 2015 and August 10, 2017, inclusive (the “Class Period”). Dr. Reddy’s investors have until October 24, 2017 to file a lead plaintiff motion. To obtain information or participate in the class action, please visit the Dr. Reddy’s page on our website at www.glancylaw.com/case/dr-reddys-laboratories-ltd.

Investors suffering losses on their Dr. Reddy’s investments are encouraged to contact Lesley Portnoy of GPM to discuss their legal rights in this class action at 310-201-9150 or by email to shareholders@glancylaw.com.

On November 6, 2015, Dr. Reddy’s reported that the Company received a “warning letter” from the United States Food and Drug Administration (“FDA”) over inadequate quality controls at three manufacturing plants producing drugs for cancer and other diseases. The Company further disclosed that it was undertaking an initiative to revamp the Company’s quality controls. On this news shares of Dr. Reddy’s sharply fell over several days, thereby damaging investors.

On August 10, 2017, the Company disclosed that Betapharm Arzneimittel GmbH, Germany, Dr Reddy’s wholly owned subsidiary, received a communication from the Regulatory Authority of Germany (Regierung von Oberbayern) stating that the good manufacturing practices compliance certificate for the Company’s formulations manufacturing Unit-2 plant was not renewed due to a recent inspection of the facility.

On this news, the Company’s share price fell $1.92 per share, or 5.95%, to close at $30.33 per share on August 10, 2017.

The complaint filed in this class action alleges that throughout the Class Period, the Company issued materially false and misleading statements and/or failed to disclose that: (1) Dr. Reddy’s lacked an effective corporate quality system; and (2) as a result, defendants’ public statements were materially false and misleading at all relevant times. On November 6, 2015, Dr. Reddy’s announced that it had received a warning letter issued by the U.S. Food and Drug Administration concerning inadequate quality control standards at three of Dr. Reddy’s manufacturing plants in India. Then on August 10, 2017, Dr. Reddy’s disclosed that the Regierung von Oberbayern (the district government of Upper Bavaria) did not renew the good manufacturing practices compliance certificate of a manufacturing unit of Dr. Reddy’s German subsidiary Betapharm Arzneimittel, located in India.

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