Shares of Syneos Health (SYNH) - Get Report were climbing 4.8% to $52.78 Wednesday after the biopharmaceutical services company said the Securities and Exchange Commission had not recommended any enforcement action following a recent investigation.
The Morrisville, North Carolina-based company said in a regulatory filing that it had been notified by the SEC in February that the agency had begun an investigation into "the company's revenue accounting policies, internal controls and related matters."
The SEC had asked the company to retain certain documents for the period beginning from Jan. 1, 2017.
The company's stock sank after the announcement and Syneos Health said it would delay releasing its earnings report to allow additional time to review the company's internal controls over financial reporting.
Syneos Health reported second-quarter earnings earlier this month and beat Wall Street's earnings and revenue expectations.
"On August 26, 2019, the SEC Staff notified the Company's outside counsel that it has concluded its investigation and, based on the information provided to the Commission as of such date, does not intend to recommend an enforcement action against the Company," the filing said.
The company said the notice warned that the recommendation against enforcement action "must in no way be construed as indicating that the party has been exonerated or that no action may ultimately result from the staff's investigation."
Syneos Health didn't immediately respond to a request for comment.
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