Sanofi Settles Obesity Drug Class Action For $40M

Law360, Los Angeles (September 19, 2013, 9:17 PM EDT) -- French pharmaceutical giant Sanofi-Aventis SA has agreed to pay $40 million to settle a class action brought by investors who claim the company withheld information about anti-obesity drug Zimulti's link to severe psychiatric problems, according to documents filed in New York federal court on Thursday.

The agreement, which still requires court approval, comes six months after a New York federal judge certified the class of investors, finding the lead plaintiffs’ securities fraud claims were typical of the class as a whole.

U.S. District Judge George B....
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