Deals & Corporate Governance

  • February 22, 2024

    Locke Lord Settles Failed Health Plan Malpractice Suit

    Locke Lord LLP has reached a settlement to resolve a health plan fiduciary's malpractice suit alleging the firm provided bad legal advice that doomed the plan, permanently ending an Illinois federal suit first filed in 2018.

  • February 21, 2024

    Actelion Cites FDA Safety Rules Against Tracleer Antitrust Suit

    Actelion Pharmaceuticals Ltd. said federal rules controlling distribution of potentially dangerous drugs spare it from antitrust litigation over its hypertension drug Tracleer, arguing it was required to deny needed samples to would-be generic competitors until they presented the right certification of safeguards.

  • February 21, 2024

    Calif. Bill Would Let AG Audit Private Equity Healthcare Deals

    California Attorney General Rob Bonta and Assembly Speaker Pro Tempore Jim Wood have filed legislation that will give the state's AG oversight of private equity and hedge fund acquisitions of healthcare facilities, saying that private equity is causing soaring consumer costs.

  • February 21, 2024

    JPMorgan Got $400M Before Inovalon Sale, Del. Justices Hear

    Inovalon didn't properly disclose that investors that bought the healthcare data company in 2021 paid $400 million in fees to its financial adviser, a JPMorgan unit, before the transaction, a reason enough to revive a lawsuit challenging the $7.3 billion acquisition, counsel for stockholders told Delaware's Supreme Court Wednesday.

  • February 20, 2024

    US Trustee Wants Sorrento Ch. 11 Tossed Or Relocated

    The U.S. Trustee's Office has moved to have Sorrento Therapeutics' Chapter 11 case dismissed, alleging the biopharmaceutical company manufactured a venue in Texas bankruptcy court, even as the debtor asked for court approval to sell off its assets to its CEO under a revised reorganization plan.

  • February 20, 2024

    Biology AI Startup Bioptimus Raises $35M Seed Round

    Artificial intelligence startup Bioptimus has raised $35 million to build an AI foundational model focused on biology, the company announced Tuesday.

  • February 20, 2024

    $71M Deal Proposed To End Premier Inc. Share Exchange Suit

    Healthcare-purchasing giant Premier Inc. has agreed to a $71 million settlement of a derivative stockholder suit in Delaware's Chancery Court that challenged a $473.5 million payout in a 2020 restructuring, with stockholder attorneys seeking an award of up to $14 million in fees.

  • February 20, 2024

    Latham Adds Cooley Company Growth Pros In San Francisco

    Latham & Watkins LLP is expanding its West Coast corporate team, announcing Tuesday that it is bringing in a pair of Cooley LLP experts in emerging-growth companies as partners in its San Francisco Bay Area offices.

  • February 16, 2024

    Chromocell Hits Stock Markets Following $6.6M IPO

    Clinical-stage biotechnology company Chromocell Therapeutics Corp. began trading publicly on Friday after raising $6.6 million in its initial public offering, becoming the latest in a flurry of biotech IPOs.

  • February 15, 2024

    Citadel Securities, Others Beat Biotech Spoofing Suit, For Now

    A New York federal judge has adopted in full a magistrate judge's recommendation to toss a suit accusing several broker-dealers, including Citadel Securities LLC and Virtu Americas LLC, of carrying out a spoofing scheme that repeatedly drove a biotechnology company's share price down, saying he agrees with the report's finding that the suit fails to show that the alleged scheme caused lower stock prices in every instance.

  • February 15, 2024

    HCA Says NC Hospital's Standard Of Care Hasn't Changed

    For-profit hospital network HCA Management Services has fired back at claims of rampant mismanagement at its Asheville, North Carolina, hospital, saying the state attorney general's office has made accusations about the quality of care that aren't based on the terms agreed to when HCA bought the hospital four years ago.

  • February 15, 2024

    Invitae Can Use Cash Collateral For Speedy Ch. 11

    Bankrupt genetic testing company Invitae Corp. on Thursday got the approval of a New Jersey bankruptcy court for routine first-day motions as it moves toward a planned April auction of its assets.

  • February 15, 2024

    Freenome Raises $254M For Early Cancer Detection Tests

    Cancer-focused biotechnology company Freenome said Thursday it has raised $254 million from investors to advance cancer detection tests in its pipeline.

  • February 15, 2024

    Aurinia Refocusing After Failed Effort To Find A Buyer

    Kidney-focused biotech Aurinia Pharmaceuticals is hitting pause on drug development, cutting jobs and initiating a $150 million stock buyback program, the company disclosed in its year-end financial report Thursday.

  • February 15, 2024

    Lawmakers Push PE Firm For Answers On Steward Health

    A group of lawmakers demanded answers from private equity firm Cerberus Capital Management on Thursday over its relationship with financially troubled Steward Health Care-owned hospitals in Massachusetts, saying that Steward's recent collapse is a "textbook example" of the "grave risks" that come with private equity takeover of the healthcare system.

  • February 15, 2024

    FTC's Khan Calls Healthcare 'Key' To Fight For Competition

    Federal Trade Commission Chair Lina Khan told a conference of physicians the agency is fighting corporate control at several levels of the healthcare industry, touting the sector as a key battleground in the administration's push for more competition across the economy.

  • February 14, 2024

    FTC Seeks Info On 'Powerful Middlemen' Amid Drug Shortages

    The Department of Health and Human Services and the Federal Trade Commission announced Wednesday that they are seeking information on whether legal exemptions for "middlemen" in the generic pharmaceutical market are driving ongoing drug shortages.

  • February 14, 2024

    Adagio Medical Goes Public In $128M SPAC Merger

    Adagio Medical, a catheter ablation tech maker, and Arya Sciences, a special purpose acquisition company, said on Wednesday that they would merge, taking the combined company public at a $128 million value, guided by respective legal adviser Reed Smith and Kirkland.

  • February 14, 2024

    Pharma Co. Humanigen Gets OK For Ch. 11 Sale

    Drug researcher Humanigen Inc. can sell nearly all of its assets to a company formed by its CEO, a Delaware bankruptcy judge ruled Wednesday, after the debtor, the buyer and the official committee of unsecured creditors struck a deal resolving objections to the Chapter 11 sale.

  • February 14, 2024

    Settlements of 3 Drug Cos. Get Prelim OK In Price-Fixing MDL

    A Pennsylvania federal judge granted preliminary approval Wednesday to settlements in which two makers and one distributor of generic drugs agreed to pay a combined $45 million to resolve allegations they colluded to fix the prices of medications, including those used to treat glaucoma, high blood pressure and high cholesterol.

  • February 14, 2024

    Biotech Nabs $200M Via Private Placement, Starts CEO Search

    Public gene therapy company enGene Holdings Inc. announced Wednesday that it will sell 20 million of its common shares, raising an anticipated private placement of around $200 million, to fund the development of its lead compound EG-70.

  • February 14, 2024

    KKR Buys Stake In Health Tech Biz Cotiviti At $10.5B Valuation

    Private equity firm KKR & Co. Inc. has agreed to acquire a stake in healthcare analytics company Cotiviti from Veritas Capital, Cotiviti announced Wednesday, in a deal valuing the target at about $10.5 billion.

  • February 14, 2024

    Genetic Testing Co. Invitae Files For Ch. 11 With $1.5B Debt

    California-based genetic testing company Invitae Corp. has filed for Chapter 11 protection in New Jersey with nearly $1.5 billion in debt and what it said is an agreement with senior noteholders to seek a buyer.

  • February 13, 2024

    Insurers Must Pay Pharma Co. Defense Costs In SEC Probe

    A drug development company formed by a merger is entitled to insurance payments for expenses it paid two of its former officers in connection with federal subpoenas because the insurer failed to show that an exclusion applied, a California federal judge ruled Monday.

  • February 13, 2024

    FDA, Creditors Oppose Drugmaker Humanigen's Ch. 11 Sale

    Biopharmaceutical company Humanigen faced fire on multiple fronts Tuesday after it asked the Delaware bankruptcy court to approve a $2 million stalking horse credit bid from its debtor-in-possession lender, an entity founded by the debtor's chief executive, that is opposed by the FDA and certain creditors.

Expert Analysis

  • Every Lawyer Can Act To Prevent Peer Suicide

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    Members of the legal industry can help prevent suicide among their colleagues, and better protect their own mental health, by learning the predictors and symptoms of depression among attorneys and knowing when and how to get practical aid to peers in crisis, says Joan Bibelhausen at Minnesota Lawyers Concerned for Lawyers.

  • Building On Successful Judicial Assignment Reform In Texas

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    Prompt action by the Judicial Conference could curtail judge shopping and improve the efficiency and procedural fairness of the federal courts by implementing random districtwide assignment of cases, which has recently proven successful in Texas patent litigation, says Dabney Carr at Troutman Pepper.

  • Now Is The Time For Independent Industry Self-Regulation

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    The high level of trust in business, coupled with the current political and legal landscape, provides an opportunity for companies to play a meaningful role in finding solutions to public policy issues through the exploration of independent industry self-regulation models, says Eric Reicin at BBB National Programs.

  • AmEx Ruling Proves A Double-Edged Sword In Labor Antitrust

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    Though the U.S. Supreme Court's 2018 decision in Ohio v. American Express was a defense victory, both the plaintiff and defense bars have learned to use the case's holdings to their advantage, with particularly uncertain implications for labor antitrust cases, say Lauren Weinstein and Robert Chen at MoloLamken.

  • Do Videoconferences Establish Jurisdiction With Defendants?

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    What it means to have minimum contacts in a foreign jurisdiction is changing as people become more accustomed to meeting via video, and defendants’ participation in videoconferencing may be used as a sword or a shield in courts’ personal jurisdiction analysis, says Patrick Hickey at Moye White.

  • Takeaways From DOJ's Novel Insider Trading Indictment

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    The U.S. Department of Justice's recently announced insider trading charges in U.S. v. Peizer mark the first indictment based solely on an executive’s use of a Rule 10b5-1 trading plan, reflecting prosecutors' aggressive approach and providing insights for corporate executives, say attorneys at Cleary.

  • Humanism Should Replace Formalism In The Courts

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    The worrying tendency for judges to say "it's just the law talking, not me" in American decision writing has coincided with an historic decline in respect for the courts, but this trend can be reversed if courts develop understandable legal standards and justify them in human terms, says Connecticut Superior Court Judge Thomas Moukawsher.

  • Expect Merger Enforcement To Roll Full Steam Ahead

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    U.S. Department of Justice and Federal Trade Commission officials at the American Bar Association's 2023 Antitrust Spring Meeting laid out their agenda to reinvigorate and modernize antitrust merger enforcement, projecting confidence and optimism despite recent high-profile setbacks in court, say attorneys at Perkins Coie.

  • Don't Let Client Demands Erode Law Firm Autonomy

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    As clients increasingly impose requirements for attorney hiring and retention related to diversity and secondment, law firms must remember their ethical duties, as well as broader issues of lawyer development, culture and firm integrity, to maintain their independence while meaningfully responding to social changes, says Deborah Winokur at Cozen O'Connor.

  • Distressed Cannabis Cos. Have A Few Options, With Caveats

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    As the cannabis industry falls on tough times and a potential recession looms, attorneys should understand the limited restructuring options available to distressed cannabis businesses, absent key bankruptcy protections — and the pitfalls these options may present, say Griffen Thorne and Ethan Minkin at Harris Bricken.

  • How CMS Proposal Would Change PE Deal Transparency

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    The Centers for Medicare and Medicaid Services recently proposed a new rule that would require the disclosure of additional ownership regarding Medicare and Medicaid nursing facilities, an approach that many states have started to take and reflects the Biden administration's scrutiny on private equity deals, say attorneys at Kirkland.

  • Workers, Labor Take Center Stage At ABA Antitrust Meeting

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    The American Bar Association’s antitrust spring meeting had a heavy emphasis on upstream markets affecting employees and talent, and prosecutors sent a clear message that they view no-solicitation, no-poach and no-hire agreements as criminal violations, even in the face of several jury trial setbacks, say attorneys at Perkins Coie.

  • Federal Judge's Amici Invitation Is A Good Idea, With Caveats

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    An Arkansas federal judge’s recent order — inviting amicus briefs in every civil case before him — has merit, but its implementation may raise practical questions about the role of junior attorneys, economic considerations and other issues, says Lawrence Ebner at the Atlantic Legal Foundation.