Robbins Geller Rudman & Dowd LLP today announced that a class action
has been commenced in the United States District Court for the Northern
District of Illinois on behalf of purchasers of BioSante
Pharmaceuticals, Inc. securities during the period between February 8,
2010 and December 15, 2011.
If you wish to serve as lead plaintiff, you must move the Court no later
than 60 days from February 6, 2012. If you wish to discuss this action
or have any questions concerning this notice or your rights or
interests, please contact plaintiff’s counsel, Darren Robbins of Robbins
Geller at 800/449-4900 or 619/231-1058, or via e-mail at
djr@rgrdlaw.com. If you are a member of this class, you can view a copy
of the complaint as filed or join this class action online at
http://www.rgrdlaw.com/cases/biosante/. Any member of the putative class
may move the Court to serve as lead plaintiff through counsel of their
choice, or may choose to do nothing and remain an absent class member.
The complaint charges BioSante and its Chief Executive Officer with
violations of the Securities Exchange Act of 1934. BioSante is a
specialty pharmaceutical company focused on developing products for
female sexual health and oncology.
The complaint alleges that during the Class Period, defendants issued
materially false and misleading statements regarding the commercial
viability, effectiveness, and market potential for LibiGel, a drug
designed to improve the sex drive of women suffering from female sexual
dysfunction, and specifically hypoactive sexual desire disorder
(“HSDD”). Defendants boasted about LibiGel’s efficacy over placebo in
clinical trials, and provided supposedly concrete “data” regarding the
drug’s “statistically significant” effect on increasing the “number of
satisfying sexual events” for women suffering from HSDD. As a result of
these false statements, BioSante’s stock traded at artificially inflated
prices during the Class Period, reaching a high of $3.81 on July 12,
2011.
On December 14, 2011, BioSante issued a press release disclosing for the
first time to investors that LibiGel failed to yield positive results
in large-scale efficacy tests designed by the Company. According to the
clinical trial results, women treated with LibiGel did not experience a
statistically significant increase in either total satisfying sexual
encounters or sexual desire. In fact, in the double-blind,
placebo-controlled trial, LibiGel did not fare significantly better than
the placebo. On this news, BioSante’s stock collapsed $1.64 per share
to close at $0.48 per share on December 15, 2011, a one-day decline of
77% on volume of nearly 50 million shares.
According to the complaint, the true facts, which were known by the
defendants but concealed from the investing public during the Class
Period, were as follows: (a) LibiGel’s efficacy was well short of that
required to obtain FDA approval; and (b) LibiGel failed to yield
statistically superior results to placebo.
Plaintiff seeks to recover damages on behalf of all purchasers of
BioSante securities during the Class Period (the “Class”). The plaintiff
is represented by Robbins Geller, which has expertise in prosecuting
investor class actions and extensive experience in actions involving
financial fraud.
Robbins Geller, a 180-lawyer firm with offices in San Diego, San
Francisco, New York, Boca Raton, Washington, D.C., Philadelphia and
Atlanta, is active in major litigations pending in federal and state
courts throughout the United States and has taken a leading role in many
important actions on behalf of defrauded investors, consumers, and
companies, as well as victims of human rights violations.
www.rgrdlaw.com
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