The Law Office Of Robbins Umeda LLP Announces An Investigation Of Arena Pharmaceuticals, Inc.
Robbins Umeda LLP has commenced an investigation into possible breaches of fiduciary duty and other violations of the law by certain officers and directors at Arena Pharmaceuticals, Inc. ("Arena" or the "Company") (NASDAQ: ARNA). Arena, a clinical-stage biopharmaceutical company, focuses on discovering, developing, and commercializing oral drugs in the therapeutic areas of cardiovascular, central nervous system, inflammatory, and metabolic diseases. The Company was founded in 1997 and is based in San Diego, California.
Robbins Umeda LLP's investigation concerns whether the Company's directors and officers caused the Company to issue materially false and misleading statements. Specifically, the investigation concerns whether these directors and officers omitted and failed to disclose material information concerning the safety, efficacy, and tolerability of Arena's weight loss drug, Lorqess, which undermined the Company's New Drug Application for Lorqess.
On September 14, 2010, the U.S. Food and Drug Administration (the "FDA") disclosed a briefing document containing the results of the rat carcinogenicity studies of Lorqess. The FDA's briefing document revealed that Lorqess caused cancer in rats in certain pre-clinical studies. Upon this news, the Company's value fell from $6.85 on September 13, 2010, to close at $4.13 on September 14, 2010, a one day decline of $2.72, or approximately 40%. Then, on September 16, 2010, the Wall Street Journal reported that the FDA's advisory committee held a meeting to review Lorqess and rejected the drug in light of the concern that long-term use of the drug posed various risks, including cancer, which outweighed its benefits. As a result of this news, Arena's value fell again from $3.74 per share on September 16, 2010, to close at $1.99 per share on September 17, 2010, a one day decline of nearly 46%.
If you are a shareholder of Arena, plan to continue to hold your shares, and would like more information about your rights as a shareholder, please contact attorney Gregory E. Del Gaizo at 800-350-6003 or by e-mail at email@example.com.Robbins Umeda LLP is a California-based law firm, which has significant experience representing investors in shareholder derivative actions, securities fraud class actions, and merger-related shareholder class actions. For more information about the firm, please go to http://www.robbinsumeda.com. Advertisement
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV