SAN DIEGO and CORAL GABLES, Fla., Nov. 12, 2013 /PRNewswire/ -- Shareholder rights law firm Robbins Arroyo LLP announces that an investor of Catalyst Pharmaceutical Partners, Inc. (NASDAQ: CPRX) has filed a federal securities fraud class action complaint in the U.S. District Court for the Southern District of Florida. The complaint alleges that the company and certain of its officers violated the Securities and Exchange Act of 1934 between October 31, 2012 and October 18, 2013 (the "Class Period"). Catalyst is a specialty pharmaceutical company focused on the development and commercialization of novel prescription drugs targeting rare (orphan) neuromuscular and neurological diseases and disorders. The company's lead drug candidate, Firdapse, is a treatment for Lambert-Eaton Myasthenic Syndrome (LEMS); a rare, neuromuscular disease which causes progressive muscle weakness.
Catalyst Accused of Failing to Disclose Existence of Biological Equivalent to Firdapse Drug
According to the complaint, the company made false and misleading failed statements and/or failed to disclose material adverse facts about the company's business prospects. Specifically, the complaint alleges that Catalyst failed to disclose to investors that its competitor, Jacobus Pharmaceuticals, has for twenty years provided LEMS patients in the United States an equivalent to Firdapse, free of charge through an FDA approved compassionate use program. On October 18, 2013, The Street issued an article revealing Jacobus' free alterative to Catalyst's Firdapse. On this news, Catalyst shares fell to $1.52 or 25% on October 21, 2013.
Catalyst Shareholders Are Encouraged to Contact Shareholder Rights Law Firm Robbins Arroyo
If you invested in Catalyst and would like to discuss your shareholder rights, please contact attorney Darnell R. Donahue at (800) 350-6003, DDonahue@robbinsarroyo.com, or via the information form on the firm's shareholder rights blog: http://www.robbinsarroyo.com/shareholders-rights-blog/catalyst-pharma/
Robbins Arroyo 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.
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SOURCE Robbins Arroyo LLP