Robbins Umeda LLP Announces the Filing of a Class Action Suit Against GenVec, Inc.
Robbins Umeda LLP announces the filing of a federal securities class action by an investor in the U.S. District Court for the District of Maryland Greenbelt Division on behalf of purchasers of GenVec, Inc. (NASDAQ: GVNC) shares between March 12, 2009 and March 30, 2010 (the “Class Period”). Concerned shareholders who would like more information about their rights and potential remedies can complete the form below and we will contact you directly. You can also contact attorney Gregory E. Del Gaizo at (800) 350-6003.
The complaint alleges that beginning on March 12, 2009, certain officers and directors at GenVec issued a series of false and misleading statements to investors about the clinical success and strategic commercial value of TNFerade biologic, a therapeutic product being developed by the company for use in the treatment of cancer. In particular, the complaint alleges that statements by officials at GenVec were materially false and misleading when made because: (1) the officials knew or recklessly disregarded the fact that Phase III clinical trials of TNFerade in patients with pancreatic cancer was a failure; (2) GenVec delayed releasing the actual results of these clinical trials so that it could successfully complete its $26 million Public Offering; and (3) the company failed to disclose the substantial negative impact that the failed clinical trials would have on GenVec’s financial condition.
On March 29, 2010, GenVec first disclosed to investors that it was discontinuing Phase III clinical trials of TNFerade in patients with locally advanced pancreatic cancer. Clinical data from the trials revealed that contrary to statements made by officials at GenVec, TNFerade was only as effective as placebo. On this news, GenVec stock declined $20.10 per share, or nearly 71.5%, in a single day.
Robbins Umeda LLP is a nationally recognized leader in securities litigation and 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.