WASHINGTON, Nov. 3, 2014 (GLOBE NEWSWIRE) -- Cohen Milstein Sellers & Toll PLLC is conducting an investigation to determine whether Arrowhead Research Corporation ("Arrowhead" or the "Company") and certain of its officers and directors made false and misleading statements and/or omissions in violation of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
A class action lawsuit was filed in the U.S. District Court for the Central District of California by another law firm on behalf of purchasers of the common stock of Arrowhead Research Corporation (Nasdaq:ARWR) between August 12, 2014 and October 8, 2014, inclusive (the "Class Period").
Arrowhead develops targeted RNA interference ("RNAi") therapeutics, including ARC-520 which is used in the treatment of chronic hepatitis B virus ("HBV") infection. ARC-520 is designed to treat chronic HBV infection by reducing the expression and release of new viral particles and key viral proteins with the goal of achieving a functional cure. The measure of effectiveness of the drug is to have a "log" (or exponential) reduction and duration of reduction of hepatitis B surface antigens ("HBsAG") which measure the presence of hepatitis B in the body.
Specifically, the complaint alleges that Defendants misrepresented and/or failed to disclose the true efficacy of ARC-520 in treating hepatitis B. The claims in this case followed the steep decline in Arrowhead shares after the Company's October 8, 2014, release of data from its Phase IIa study of ARC-520. Arrowhead issued a press release stating that it was presenting the data for its Phase IIa study on ARC-520 at the American Association for the Study of Liver Disease ("AASLD") meeting to be held on November 7-11, 2014. The Company published a late-breaking abstract for the AASLD Meeting revealing that there was a 39% reduction of HBsAG when a 1 mg/kg dose was administered and a 51% reduction of HBsAG when a 2 mg/kg dose was administered. However, the 51% reduction of HBsAG for the 2 mg/kg dose equates to only a 0.3-log reduction—falling far short of the near 1-log reduction Defendants previously had allegedly suggested. The price of Arrowhead shares fell from $12.51 to $7.03 on October 8.
Cohen Milstein encourages all investors who purchased Arrowhead common stock between August 12, 2014 and October 8, 2014, or former employees with information concerning this matter to contact the firm.
If you are an Arrowhead shareholder and would like to discuss your right to recover for your economic loss, you may, without any cost or obligation, call Cohen Milstein's Managing Partner, Steven J. Toll at (888) 240-0775 or (202) 408-4600, or email him at stoll@cohenmilstein.com. If you wish to serve as lead plaintiff, you must move the Court no later than December 9, 2014 to request appointment. Any member of the proposed class may retain Cohen Milstein or other attorneys to serve as your counsel in this action, or you may do nothing and remain an absent class member.
Cohen Milstein has significant experience in prosecuting investor class actions and actions involving securities fraud, and is active in major litigation pending in federal and state courts throughout the nation. Cohen Milstein has taken a lead role in numerous important cases on behalf of defrauded investors, and has been responsible for a number of outstanding recoveries which, in the aggregate, total over two billion dollars. Prior results do not guarantee a similar outcome. For more information visit www.cohenmilstein.com.
If you have any questions about this notice or the action, or with regard to your rights, please contact either of the following:
Steven J. Toll, Esq.
Rhys Tucker
Cohen Milstein Sellers & Toll PLLC
1100 New York Avenue, N.W.
West Tower, Suite 500
Washington, D.C. 20005
Telephone: (888) 240-0775 or (202) 408-4600
Email: stoll@cohenmilstein.com; rtucker@cohenmilstein.com