SAN DIEGO--(BUSINESS WIRE)--Haeggquist & Eck, LLP a shareholder rights litigation firm, has launched an investigation into possible breaches of fiduciary duty and other violations of state law by certain members of NantKwest Inc.’s (NASDAQ: NK) board of directors. NantKwest is a San Diego-based cancer immunotherapy company that focuses on attempting to harness “natural killer” cells generated by the body’s immune system to treat cancer, infectious diseases, and inflammatory diseases.
In the Company’s first two earnings reports after their July 28, 2015 Initial Public Offering (“IPO”), NantKwest misstated the amount of compensation that the Company had given to their CEO, Patrick Soon-Shiong, by approximately $49 million. NantKwest was forced to restate its financial results for the second and third quarters of 2015 due to the failure to disclose Mr. Soon-Shiong’s full executive compensation. These undisclosed expenses dramatically impacted NantKwest’s financial condition and caused its stock price to plummet.
Haeggquist & Eck’s investigation focuses on whether certain members of NantKwest’s Board of Directors breached their fiduciary duties by failing to disclose the approximately $49 million given to their CEO in executive compensation following the IPO. A securities fraud lawsuit is currently pending against the Company, Mr. Soon-Shiong, and certain members of the NantKwest board in the United States District Court for the Central District of California.
NantKwest Shareholders Have Legal Options
Concerned NantKwest shareholders who would like more information about potential remedies for the alleged misconduct, including remedies to the Company from the alleged misconduct of its executives and/or directors, may contact attorneys Amber Eck or Kathleen Herkenhoff at 619-342-8000, firstname.lastname@example.org or email@example.com.
Haeggquist & Eck, LLP is a nationally recognized leader in shareholder rights law. The firm represents individual investors in shareholder derivative lawsuits, and members of the firm have helped shareholders recover more than $1 billion of value for themselves and the companies in which they have invested.
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