Inotiv receives preliminary court approval for $2.49 million derivative settlement
Inotiv received preliminary court approval for a $2.49 million settlement in derivative litigation, addressing corporate governance and a separate securities lawsuit.Summary
Inotiv announced on Friday that the United States District Court for the Northern District of Indiana granted preliminary approval for a proposed settlement of consolidated derivative litigation involving the company. The settlement, valued at $2,490,000 and funded by insurance, includes corporate governance measures and will contribute to a payment in a separate securities class action lawsuit. Plaintiffs’ attorneys may seek fees up to $2,250,000, also expected to be covered by insurance. A final approval hearing is scheduled for March 18, 2026.
This news arrives during a financially challenging period for Inotiv, with its stock price down 86.86% over the past year and a market capitalization of $19.59 million. The company carries a significant debt burden of $459.29 million and a current ratio of 0.35, indicating potential liquidity issues.
Separately, Inotiv recently reported fourth-quarter 2025 financial results with a smaller-than-expected loss and revenue exceeding forecasts. The company also announced a strategic collaboration with VUGENE to enhance AI-assisted drug discovery, integrating VUGENE’s bioinformatics platform into Inotiv’s Discovery & Translational Sciences Division.
(Source：Investing Philippines)