Company: NOTV
Filing Date: 2025-12-05
Form Type: 10-K
Source: 0001628280-25-055483
Chunk: 40

Company: Inotiv, Inc.
Filing Date: 2025-12-05
Form: 10-K
Item: Item 7
Chunk 40
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 plan to complete by March 2026, approximately six months earlier than we originally planned. 

In connection with Phase Two, the sale of one U.S. property was completed in June 2025 and the sale of a second U.S. property was completed in September 2025. The net proceeds from the sale in June 2025 were used to repay principal on our term loans, as required by the Credit Agreement (as defined below), during fiscal year 2025, and the net proceeds from the sale in September 2025 were used to repay principal on our term loans, as required by the Credit Agreement, during October 2025. 

Refer to Note 10 – Restructuring Costs in our consolidated financial statements contained in Part II, Item 8 for more information related to the site optimizations.

Securities Class Action and Derivative Lawsuits

In order to eliminate the uncertainty, burden, and expense of protracted litigation, on September 25, 2025, we entered into a Stipulation and Agreement of Settlement (the “Proposed Securities Settlement”) to settle the Securities Class Action (as defined in Note 15 - Contingencies and Commitments).

The Proposed Securities Settlement does not assign or reflect any admission of wrongdoing or liability by the Company or the individual defendants, all of whom deny any wrongdoing. While the court preliminarily approved the Proposed Securities Settlement on October 3, 2025, it scheduled a final settlement hearing for January 27, 2026, and as a result, as of the date of this report, the Proposed Securities Settlement is still subject in all respects to court approval and there can be no assurance that the court will approve the Proposed Securities Settlement. 

If approved by the court, the Proposed Securities Settlement will fully resolve the Securities Class Action claims against the Company and the individual defendants Robert W. Leasure, Beth A. Taylor, John E. Sagartz, and Carmen Wilbourn. As consideration for the Proposed Securities Settlement, the Company will cause to be paid a cash settlement payment of $8,750 (“Cash Payment”) to the members of the putative class, which is expected to include all persons and entities who purchased or otherwise acquired shares of the Company’s common stock between September 21, 2021 and May 20, 2022 

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or who held shares of the Company’s common stock and were entitled to vote on matters necessary to effectuate the Company’s acquisition of Envigo RMS, LLC at a special meeting of the Company’s