SAN FRANCISCO, CA / ACCESSWIRE / October 3, 2022 / Hagens Berman urges Kiromic BioPharma, Inc. (NASDAQ:KRBP) investors who purchased Kiromic shares to submit your losses now.
Relevant Period: June 25, 2021 - Feb. 2, 2022
Lead Plaintiff Deadline: Oct. 4, 2022
Contact An Attorney Now: [email protected]
Kiromic BioPharma, Inc. (NASDAQ:KRBP) Securities Class Action:
Hagens Berman Sobol Shapiro LLP announces that it has filed a class action lawsuit against Kiromic BioPharma, Inc. ("Kiromic" or the "Company") (NASDAQ:KRBP) and against certain officers and directors of the Company as well as other parties. The class action, filed in the United States District Court for the Southern District of New York, titled Podmore v. Kiromic BioPharma, Inc., et al., Case No. 1:22-cv-08433, is brought on behalf of a class consisting of all persons and entities that purchased or otherwise acquired: (1) Kiromic common stock pursuant and/or traceable to the Offering Documents (defined below) and/or (2) Kiromic securities between June 25, 2021 and February 2, 2022, both dates inclusive (the "Class Period"). Plaintiff pursues claims against Defendants under the Securities Act of 1933 and the Securities Exchange Act of 1934.
If you are a shareholder who purchased Kiromic shares during the class period, you have until Oct. 4, 2022, to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained here. Click here to discuss your legal rights with Hagens Berman.
The Company's public offering closed on July 2, 2021 (the "Offering") and was conducted pursuant to a registration statement filed with the SEC on June 25, 2021 ("Registration Statement") and a final prospectus dated June 29, 2021 (the "Prospectus," with the Registration Statement, the "Offering Documents").
The Complaint challenges Defendants' disclosures about its development of two cancer treatment product candidates, ALEXIS-PRO-1 and ALEXIS-ISO-1.
The Complaint alleges that in the Offering Documents and during the Class Period, Defendants failed to disclose that the FDA had, prior to the filing of the Registration Statement and Prospectus, imposed a clinical hold, and in fact, contained statements indicating that it had not. Given that the Offering closed on July 2, 2021, more than thirty (30) days after the Company submitted the IND applications for its two immunotherapy product candidates, investors were assured that no clinical hold had been issued and clinical trials would commence.
But on July 16, 2021, Kiromic disclosed that it had received "comments" from the FDA on its two INDs.
Then, on Aug. 13, 2021, the Company clarified that the FDA had actually put the INDs on "clinical hold."
Finally, on Feb. 2, 2022, Kiromic essentially admitted that it had not been forthcoming with investors concerning the status of the INDs. Specifically, the Company revealed that it commenced an internal investigation based on complaints lodged by its former CFO, who abruptly departed in October 2021.
The internal investigation uncovered that the FDA had first informed the Company of the clinical hold on June 16 and June 17, 2021 - material facts not disclosed in Kiromic's July 2021 public offering documents. Kiromic admitted that this material omission could subject the Company to liability under the securities laws.
These events have driven the price of Kiromic shares sharply lower, injuring investors.
Investors who purchased or otherwise acquired shares of Kiromic should contact the Firm prior to the October 4, 2022 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you invested in Kiromic and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Kiromic should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
# # #
About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation law firm focusing on corporate accountability through class-action law. The firm is home to a robust securities litigation practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and fraud. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Reed Kathrein, 844-916-0895
SOURCE: Hagens Berman Sobol Shapiro LLP