Appeals Court Revives $6.7 Billion Lawsuit Against Bristol Myers

The dispute centers on the 2019 acquisition of Celgene, an $80.3 billion deal that granted shareholders "contingent value rights." These rights promised a $9-per-share payout if Bristol Myers secured timely FDA approvals for Liso-cel, marketed as Breyanzi, alongside Ozanimod and Ide-cel. Shareholders eventually turned to UMB Bank as a trustee, alleging the drugmaker failed to exert "diligent efforts" to meet the required deadlines.

Bristol Myers ultimately received FDA approval for Breyanzi to treat non-Hodgkin lymphoma on February 5, 2021, missing the stipulated deadline by five weeks. While the company has consistently denied allegations of manipulating the approval process or undermining investor rights, the appeals court found that UMB Bank possessed the necessary standing to pursue the claims. Circuit Judge Beth Robinson noted that Bristol Myers was never confused regarding the status of the investors who appointed the bank, effectively overturning the 2024 dismissal by U.S. District Judge Jesse Furman.