Abraham, Fruchter & Twersky, LLP announces that a securities class action lawsuit has been filed in the United States District Court for the Southern District of California on behalf of all persons or entities that purchased the stock of Isis Pharmaceuticals, Inc. (“Isis Pharmaceuticals” or the “Company”) (NASDAQ: ISIS) from March 29, 2012 through October 15, 2012, inclusive (the “Class Period”), alleging violations of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder against the Company and certain of its officers (the “Complaint”).
Isis Pharmaceuticals, based in Carlsbad, California, is the leading company in gene-blocking antisense drug discovery and development. The Company's flagship product, Kynamro (formerly mipomersen), is designed to treat patients with severe forms of high cholesterol. The Complaint alleges that throughout the Class Period, Isis Pharmaceuticals issued false and misleading statements regarding the safety and efficacy of the drug, as well as reportedly positive results from Kynamro's phase three clinical trial, leading investors to believe that Kynamro would receive approval from the U.S. Food and Drug Administration ("FDA").
On October 16, 2012, an FDA advisory committee posted information on the FDA’s website noting that in recent patient studies, 3.1 percent of patients, or 23 people treated with Kynamro developed tumors and three of them died, while only 0.9 percent, or two patients getting a placebo developed tumors. The Endocrinologic and Metabolic Drugs Advisory Committee also noted liver and blood vessel cancers were seen in earlier tests of the drug conducted on mice.
As a result of this disclosure, the price per share of Isis Pharmaceuticals common stock declined $2.88, or nearly 22%, to close that day at $10.27, on heavy trading volume.If you purchased Isis Pharmaceuticals common stock from March 29, 2012 through October 15, 2012, inclusive, and you wish to serve as lead plaintiff in this action, you must move the Court no later than February 26, 2013. Any member of the proposed class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain a member of the proposed class.