LAVAL,
QC, Oct. 21, 2022 /PRNewswire/ - Neptune
Wellness Solutions Inc. ("Neptune" or the "Company") (NASDAQ:
NEPT), a diversified and fully integrated health and wellness
company focused on plant-based, sustainable and purpose-driven
lifestyle brands, today announced that it has agreed to settle and
resolve a putative shareholder class action lawsuit filed against
Neptune and certain of its current and former officers and
directors, captioned Gong v. Neptune Wellness Solutions,
Inc. (Case No. 2:21-cv-01386-ENV-ARL) pending in the United States District Court for the
Eastern District of New York (the
"Court"). The litigation relates to allegations that, among
other things, the Company had made misrepresentations of material
information.
The settlement provides for a gross payment to the class of
between $4 and $4.25 million, with the exact amount being within
the Company's control and dependent on the type of consideration
used. The settlement is subject to Court approval and
certification by the Court of the class. The settlement will
resolve this matter against all defendants, and the consideration
will be used to satisfy settlement administrator expenses,
plaintiffs' attorneys' fees and costs, and payments to all members
of the Class. In exchange for the settlement consideration, the
Company and the other defendants will be released from all claims
by the plaintiffs and the class. The Company denies all wrongdoing
and liability and the settlement does not constitute an admission
of wrongdoing or liability by the Company or any defendant.
The class is comprised of all persons and entities that
purchased or otherwise acquired Neptune securities on the NASDAQ or
another U.S. trading venue between July 24,
2019, and July 15, 2021.
The settlement is contingent upon various conditions, including,
but not limited to, preliminary approval by the Court and final
approval by the Court after notice to the class, certification of
the class and a hearing. There can be no assurance that the
settlement will be approved by the Court nor upheld if challenged
on appeal. In addition, the Company has the right to terminate the
settlement agreement under certain conditions. The Company has
filed a claim for coverage with its insurance carrier, which was
subsequently denied. The Company is contesting the denial of
coverage.
About Neptune Wellness Solutions
Inc.
Headquartered in Laval, Québec, Neptune is a diversified
health and wellness company with a mission to redefine health and
wellness. Neptune is focused on building a portfolio of high
quality, affordable consumer products in response to long-term
secular trends and market demand for natural, plant-based,
sustainable and purpose-driven lifestyle brands. The Company
utilizes a highly flexible, cost-efficient manufacturing and supply
chain infrastructure that can be scaled to quickly adapt to
consumer demand and bring new products to market through its mass
retail partners and e-commerce channels. For additional
information, please visit: www.neptunewellness.com/.
Forward-Looking
Statements
Statements in this news release that are not statements of
historical or current fact constitute "forward-looking statements"
within the meaning of applicable securities laws. Such
forward-looking statements involve known and unknown risks,
uncertainties, and other unknown factors that could cause the
actual results of Neptune to be materially different from
historical results or from any future results expressed or implied
by such forward-looking statements. In addition to statements which
explicitly describe such risks and uncertainties, readers are urged
to consider statements labeled with the terms "believes", "belief",
"expects", "intends", "projects", "anticipates", "will", "should"
or "plans" to be uncertain and forward-looking. Forward-looking
statements relate to future events or future performance and
reflect management's expectations or beliefs regarding future
events including, but not limited to, statements with respect to:
the timing and outcome of the settlement and the availability of
insurance coverage. In respect of the forward-looking statements
and information concerning the anticipated benefits and completion
of the Transaction and the anticipated timing for completion of the
Transaction, the Company has provided such statements and
information in reliance on certain assumptions that it believes are
reasonable at this time. Although the Company believes that the
assumptions and factors used in preparing the forward-looking
information or forward-looking statements in this news release are
reasonable, undue reliance should not be placed on such information
and no assurance can be given that such events will occur in the
disclosed time frames or at all. The forward-looking statements and
information included in this news release are made as of the date
of this news release and the Company does not undertake an
obligation to publicly update such forward-looking information or
forward-looking information to reflect new information, subsequent
events or otherwise unless required by applicable securities
laws.
There can be no assurance that the settlement will occur, or
that it will occur on the terms and conditions contemplated in this
news release. The settlement could be modified, restructured or
terminated.
Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date of this
news release. The forward-looking statements contained in this news
release are expressly qualified in their entirety by this
cautionary statement and the "Cautionary Note Regarding
Forward-Looking Information" section contained in Neptune's latest
Annual Information Form, which also forms part of Neptune's latest
annual report on Form 40-F, and which is available on SEDAR
at www.sedar.com, on EDGAR at www.sec.gov/edgar.shtml.
All forward-looking statements in this news release are made as of
the date of this news release. Neptune does not undertake to update
any such forward-looking statements whether as a result of new
information, future events or otherwise, except as required by
law.
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SOURCE Neptune Wellness Solutions Inc.