Bausch Health Sheds Investors’ Spinoff, Drug Patent Lawsuit (1)

Bausch Health Cos. defeated allegations the pharmaceutical company schemed to defraud investors over a proposed spinoff and misrepresented the strength of a key drug’s patents.

Investors leading the case didn’t sufficiently allege any false or misleading statements after multiple pleading attempts, Judge Zahid N. Quraishi said in an unpublished opinion Thursday while tossing the proposed class action with finality.

The heart of their pleading was the assertion that Bausch Health was concealing the true reason for the then-proposed spinoff of its optics maker, Bausch & Lomb, alleging nothing about spinning out Bausch & Lomb made sense and that ...