SAN DIEGO & NEW YORK--(BUSINESS WIRE)--Shareholder rights law firm Robbins Arroyo LLP announces that purchasers of Ophthotech Corporation (NasdaqGS: OPHT) filed a consolidated amended class action complaint against the company's officers and directors for alleged violations of the Securities Exchange Act of 1934 between March 2, 2015 and December 12, 2016. Ophthotech, a biopharmaceutical company, develops novel therapeutics to treat ophthalmic diseases. The company's most advanced product candidate was Fovista, an anti-platelet derived growth factor agent designed to treat wet age-related macular generation ("AMD").
View this information on the law firm's Shareholder Rights Blog: https://www.robbinsarroyo.com/ophthotech-corporation-july-2018/
Ophthotech Accused of Misrepresenting the Efficacy of Its Drug
According to the complaint, Ophthotech touted extraordinary results of the company's Phase 2b trial of Fovista in combination with the drug Lucentis, leading analysts and investors to believe that the Phase 3 trials would result in Fovista's regulatory approval. In truth, the Phase 2b trial was not indicative of Fovista's efficacy because the patients in the group treated by Lucentis had larger lesions and poorer vision at the start of the trial than patients in the Fovista combination group. Knowing that Fovista's prospects were much riskier than they had disclosed, Ophthotech's two co-founders sold the majority of their personally held Ophthotech stock for combined proceeds of approximately $45.5 million. On December 12, 2016, Ophthotech announced that there was no benefit from the addition of Fovista to monthly Lucentis regimen for the treatment of wet AMD. On this news, Ophthotech's stock fell approximately 86% to close at $5.29 per share on December 12, 2016. Ophthotech subsequently abandoned its Fovista program, and the company's stock currently trades at only $2.52 per share—a dramatic decline from the stock's class period high of $78.64 per share.
Ophthotech Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leonid Kandinov at (800) 350-6003, LKandinov@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
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