David Moatazedi

David Moatazedi

Shares of Evolus Inc. fell 31% after a U.S. trade judge recommended a 10-year ban on imports on the company’s flagship wrinkle treatment product, Jeuveau.

In an initial determination, a U.S. trade judge agreed with allegations brought by AbbVie’s Allergan and its Korean partner Medytox that Jeuveau is made with trade secrets stolen from Medytox.

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Evolus’ Jeuveau competes with Allergan’s Botox. Evolus and partner Daewoong Pharmaceutical Co. have asked the U.S. International Trade Commission to review the judge’s ruling, which is non-binding and interim.

Shares of the Newport Beach-based aesthetics firm (Nasdaq: EOLS) fell to $3.78 a share at midday trading and a $124 million market cap.

Yesterday, Evolus also announced a $40 million investment from Daewoong Pharmaceutical, bringing its cash balance at the end of the second quarter to $125 million.

For more on Evolus, see the July 20 print edition of the Business Journal.