SAN DIEGO and BERKELEY,
Calif., Aug. 3, 2015 /PRNewswire/
-- Shareholder rights law firm Robbins Arroyo LLP announces
that a securities fraud class action complaint was filed in the
U.S. District Court for the Northern District of California.
The complaint alleges that officers and directors of XOMA
Corporation (NASDAQGM: XOMA) violated the Securities Exchange Act
of 1934 between November 6, 2014 and
July 21, 2015, by making materially
false and misleading statements about XOMA's business
prospects. XOMA discovers and develops antibody-based
therapeutics in the United States,
Europe, and the Asia
Pacific. The company developed gevokizumab, a drug believed
to have the potential to address the inflammatory causes of a wide
range of diseases with unmet medical needs.
View this information on the law firm's Shareholder Rights
Blog:
www.robbinsarroyo.com/shareholders-rights-blog/xoma-corporation
XOMA Misrepresents its Drug Trial
According to the complaint, XOMA initiated three clinical trials
to evaluate gevokizumab for the treatment of, among other things,
Behcet's disease uveitis, a multisystem inflammatory disorder most
commonly involving the eyes which could lead to blindness.
Among the three trials is the Phase 3 EYEGUARD-B study for patients
with Behcet's decease uveitis outside of the United States.
The complaint alleges that the company repeatedly made material
representations concerning the imminent commercialization of
gevokizumab, which in turn artificially inflated the prices of
XOMA's securities. Specifically, the company led investors to
believe that the Phase 3 study would be concluded successfully and
that approval from the U.S. Food and Drug Administration would then
be sought.
On May 28, 2015, XOMA informed the
market that it had reached its target exacerbation event as
specified in the gevokizumab study, causing an increase in trading
and leading to nearly an 8% jump in its share price on the day of
the news. However, on July 22,
2015, XOMA revealed that the study did not meet the primary
endpoint of first acute ocular exacerbation. On this news,
XOMA stock fell $3.48, or over 79%,
to open at $0.91 per share on
July 22, 2015 on extremely high
volume.
XOMA Shareholders Have Legal Options
Concerned shareholders who would like more information about
their rights and potential remedies can contact attorney
Darnell R. Donahue at (800)
350-6003, DDonahue@robbinsarroyo.com, or via the shareholder
information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in
shareholder rights law. The firm represents individual and
institutional investors in shareholder derivative and securities
class action lawsuits, and has helped its clients realize more than
$1 billion of value for themselves
and the companies in which they have invested.
Attorney Advertising. Past results do not guarantee a
similar outcome.
Contact:
Darnell R. Donahue
Robbins Arroyo LLP
600 B Street, Suite 1900
San Diego, CA 92101
DDonahue@robbinsarroyo.com
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com
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SOURCE Robbins Arroyo LLP