Skip to content
Subscriber Only

Valeant Slumps as U.S. Prosecutors Issue Subpoenas on Prices

  • U.S. Attorneys in Massachusetts, Manhattan seek documents
  • Shares had rallied after Clinton, Sanders bypassed issue
Updated on

Valeant Pharmaceuticals International Inc. shares dropped after U.S. prosecutors issued subpoenas seeking information on drug-pricing decisions, signaling fresh scrutiny just as beleaguered biotechnology investors saw signs that the cost debate may fade away.

The drugmaker recently received a subpoena from the U.S. Attorney’s Office in Massachusetts and another from the Manhattan U.S. Attorney’s Office seeking information on its patient assistance programs, drug distribution and pricing decisions, Laval, Quebec-based Valeant said in a statement on Wednesday night. Valeant shares fell 4.7 percent to $168.87 at the New York close.