SAN DIEGO, Nov. 14, 2013 /PRNewswire/ -- Shareholder rights law firm Robbins Arroyo LLP announces that an investor of Vical Incorporated (NASDAQ: VICL) has filed a federal securities fraud class action complaint in the U.S. District Court for the Southern District of California. The complaint alleges that the company and certain of its officers violated the Securities and Exchange Act of 1934 between February, 8, 2012 and August 12, 2013 (the "Class Period"). Vical engages in the research and development of biopharmaceutical products for the prevention and treatment of serious or life-threatening diseases. Vical's lead drug candidate, Allovectin, is a Phase 3 clinical trial product to treat metastatic melanoma.
Vical Accused of Misleading Investors Regarding Its Ability to Obtain FDA Approval for Allovectin
Shares of Vical fell $2.05, or 57%, to close at $1.53 on August 12, 2013, after the company announced that the top-line results from the company's Phase 3 trial of Allovectin failed to demonstrate a significant improvement over chemotherapy.
According to the complaint, the company made false and misleading statements and/or failed to disclose material adverse facts about the company's business prospects and financial condition. Specifically, the complaint alleges that, throughout the Class Period, Vical misled investors about the efficacy of Allovectin and the likelihood of its success in the Phase 3 trial. Further, the complaint alleges that the company deliberately delayed the announcement of the results of the Allovectin trial to avoid revealing the truth to the market.<
|SOURCE Robbins Arroyo LLP|
Copyright©2012 PR Newswire.
All rights reserved