SAN DIEGO--(BUSINESS WIRE)--Robbins Geller Rudman & Dowd LLP (http://www.rgrdlaw.com/cases/acadiapharm/) today announced that a class action has been commenced on behalf of purchasers of ACADIA Pharmaceuticals Inc. (NASDAQ:ACAD) securities during the period between April 29, 2016 and July 9, 2018 (the “Class Period”). This action was filed in the Southern District of California and is captioned Stone v. ACADIA Pharmaceuticals Inc., et al., No. 18-cv-01672.
The Private Securities Litigation Reform Act of 1995 permits any investor who purchased ACADIA securities during the Class Period to seek appointment as lead plaintiff. A lead plaintiff acts on behalf of all other class members in directing the litigation. The lead plaintiff can select a law firm of its choice. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff. If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from July 20, 2018. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, Darren Robbins of Robbins Geller at 800/449-4900 or 619/231-1058, or via e-mail at email@example.com. You can view a copy of the complaint as filed at http://www.rgrdlaw.com/cases/acadiapharm/.
The complaint charges ACADIA and certain of its officers with violations of the Securities Exchange Act of 1934. ACADIA is a biopharmaceutical company focused on the development and commercialization of innovative medicines to address unmet medical needs in central nervous system disorders. ACADIA’s product opportunities include its novel drug NUPLAZID (pimavanserin), which was approved by the U.S. Food and Drug Administration (“FDA”) on April 29, 2016 for the treatment of hallucinations and delusions associated with Parkinson’s disease psychosis. NUPLAZID became available in the United States in May 2016.
The complaint alleges that during the Class Period, defendants made false and misleading statements and/or failed to disclose adverse information regarding ACADIA’s business and prospects, including that medical professionals had expressed significant concern that NUPLAZID had been approved too quickly, based on inadequate evidence that the drug was safe or effective, and that a large number of adverse events had been reported to the FDA for patients who were using NUPLAZID. As a result of defendants’ false statements and/or omissions, ACADIA securities traded at artificially inflated prices during the Class Period.
On April 9, 2018, CNN issued a report claiming that medical professionals, including physicians, researchers and other experts, had expressed significant concern that NUPLAZID was approved too quickly, based on inadequate evidence that the drug was safe or effective. The CNN report also called attention to a large number of adverse events (often deaths) reported to the FDA for patients who were using NUPLAZID. On this news, the Company’s share price declined $5.03 per share, or 23.4%, to close at $16.50 per share on April 9, 2018. On April 25, 2018, CNN reported that the FDA was re-examining the safety of NUPLAZID. On this news, the Company’s share price fell $4.27 per share, or 21.9%, to close at $15.20 per share on April 25, 2018.
Then, on July 9, 2018, the Southern Investigative Reporting Foundation issued a report, entitled “Acadia Pharmaceuticals: This Is Not a Pharmaceuticals Company,” alleging that ACADIA “has accomplished its growth in ways that have attracted intense regulatory scrutiny for other drug companies,” including “dispensing wads of cash to doctors to incentivize prescription writing and downplaying mounting reports of patient deaths.” On this news, the Company’s share price again dropped $1.21 per share, or 6.8%, to close at $16.63 per share on July 9, 2018.
Plaintiff seeks to recover damages on behalf of all purchasers of ACADIA securities during the Class Period (the “Class”).
Robbins Geller is one of the world’s leading law firms representing investors in securities litigation. With 200 lawyers in 10 offices, Robbins Geller has obtained many of the largest securities class action recoveries in history. For five consecutive years, ISS Securities Class Action Services has ranked the Firm in its annual SCAS Top 50 Report as one of the top law firms in both amount recovered for shareholders and total number of class action settlements. Robbins Geller attorneys have helped shape the securities laws and recovered tens of billions of dollars on behalf of aggrieved victims. Beyond securing financial recoveries for defrauded investors, Robbins Geller also specializes in implementing corporate governance reforms, helping to improve the financial markets for investors worldwide. Please visit http://www.rgrdlaw.com for more information.