Report Information
If you have information regarding this case that you would like to make available, please contact us about our investigation.
Affymax, Inc.
ROBBINS GELLER RUDMAN & DOWD LLP FILES CLASS
ACTION SUIT AGAINST AFFYMAX, INC.
New York – February 27, 2013 – Robbins Geller Rudman & Dowd LLP (“Robbins Geller”) (http://www.rgrdlaw.com/cases/affymax/) today announced that a class action has been commenced in the United States District Court for the Northern District of California on behalf of purchasers of Affymax, Inc. (“Affymax”) (NASDAQ:AFFY) common stock during the period between December 8, 2011 and February 22, 2013 (the “Class Period”).
If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, Samuel H. Rudman or David A. Rosenfeld of Robbins Geller at 800/449-4900 or 619/231-1058, or via e-mail at djr@rgrdlaw.com. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.rgrdlaw.com/cases/affymax/. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
The complaint charges Affymax and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Affymax is a California-based biopharmaceutical company whose primary drug offering is Omontys (peginesatide) Injection for the treatment of anemia in chronic kidney disease in adult patients on dialysis. The Company has a strategic alliance agreement with Takeda Pharmaceuticals U.S.A., Inc. and Takeda Global Research & Development Center, Inc. (collectively, “Takeda”), to develop and commercialize Omontys. Takeda is also charged as a defendant in the action.
The complaint alleges that during the Class Period, defendants issued materially false and misleading statements regarding the Company’s business practices and financial results. Specifically, the complaint alleges that defendants failed to disclose that 2% of patients who were administered Omontys experienced hypersensitivity reactions resulting in anaphylaxis, a serious and life-threatening allergic reaction, a third of which needed medical intervention – and that 0.02% of those administered the drug experienced fatal anaphylaxis reactions. As a result of these false statements, the Complaint alleges that Affymax stock traded at artificially inflated prices during the Class Period, reaching a high of $27.74 per share in intraday trading on October 17, 2012.
Then, on February 23, 2013, Affymax and Takeda announced that the U.S. Food and Drug Administration (“FDA”) was requiring a total recall of the drug due to reports of anaphylaxis, with the FDA calling it a “serious and life-threatening” allergic reaction in the agency’s statement. “Serious and fatal” hypersensitivity reactions had been reported in some patients within 30 minutes of receiving their first doses of the drug by intravenous injection, the FDA said in its statement. On this news, the price of Affymax stock declined by more than 85%, closing at $2.42 per share, down $14.10 per share from the prior night’s close, on unusually high trading volume.
Plaintiff seeks to recover damages on behalf of all purchasers of Affymax common stock during the Class Period (the “Class”). The plaintiff is represented by Robbins Geller, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.
Robbins Geller represents U.S. and international institutional investors in contingency-based securities and corporate litigation. With nearly 200 lawyers in nine offices, the firm represents hundreds of public and multi-employer pension funds with combined assets under management in excess of $2 trillion. The firm has obtained many of the largest recoveries and has been ranked number one in the number of shareholder class action recoveries in MSCI’s Top SCAS 50 every year since 2003. According to Cornerstone Research, the firm’s recoveries have averaged 35% above the median for all firms over the past seven years (2005-2011). Please visit http://www.rgrdlaw.com for more information.
Contact:
Robbins Geller Rudman & Dowd LLP
Samuel H. Rudman, 800-449-4900
David A. Rosenfeld
