SAN DIEGO and NORCROSS, Ga., Aug. 1, 2014 /PRNewswire/ -- Shareholder rights law firm Robbins Arroyo LLP announces that an investor of Galectin Therapeutics Inc. (NASDAQ: GALT) has filed a federal securities fraud class action complaint in the U.S. District Court for the District of Nevada. The complaint alleges that the company and certain of its officers and directors violated the Securities Exchange Act of 1934 between January 6, 2014 and July 28, 2014 (the "Class Period"). Galectin is a development stage company that researches and develops therapies for fibrotic disease and cancer.
Galectin Is Accused of Engaging in a Misleading Promotional Campaign
According to the complaint, on July 28, 2014, Bleecker Street Research published an article on SeekinAlpha.com claiming Galectin had "strong ties to stock promoters" and was engaging in a misleading brand awareness campaign. On the same day, Adam Feuerstein published an article on TheStreet.com detailing Galectin's alleged association with penny-stock promotions firm Emerging Growth Corp., through its parent company TDM Financial. Through this relationship, Galectin engaged in a misleading promotional campaign to encourage investors to purchase stock of Galectin. On this news, Galectin's stock dropped nearly 61% to close at $5.70, trading at unusually high volumes.
Galectin Investors Are Encouraged to Contact Shareholder Rights Law Firm Robbins Arroyo LLP
If you invested in Galectin 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: www.robbinsarroyo.com/shareholders-rights-blog/galectin-therapeutics-inc.
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