SAN DIEGO and PARSIPPANY, N.J., March 3, 2014 /PRNewswire/ -- Shareholder rights law firm Robbins Arroyo LLP announces that an investor of The Medicines Company (NASDAQ: MDCO) has filed a federal securities fraud class action complaint in the U.S. District Court for the District of New Jersey. The complaint alleges that the company and certain of its officers and directors violated the Securities and Exchange Act of 1934 between February 20, 2013 and February 12, 2014 (the "Class Period"). Medicines is a global pharmaceutical company that specializes in providing medical solutions for critical care patients in acute intensive care hospitals worldwide.
Medicines Is Accused of Misrepresenting the Drug Cangrelor
According to the complaint, shares of Medicines fell on multiple occasions beginning with an initial decline $1.80 or over 5%, in which Medicines closed at $32.42 on February 10, 2014, after the release of briefing documents from the U.S. Food and Drug Administration's Cardiovascular and Renal Drugs Advisory Committee in advance of the FDA's review of Medicines' drug application for Cangrelor, a drug intended to prevent blood clots during heart-artery clearing angioplasty and stenting procedures. The documents concluded that Cangrelor did not show superiority to Clopidogrel, a competing drug already approved by the FDA. Moreover, the initial FDA finding disclosed that the clinical trials sponsored by Medicines were unethically and inappropriately controlled because the administration of Clopidogrel was delayed and the dosage of Clopidogrel lowered in the CHAMPION trial which was designed to compare the efficacy of Cangrelor to Clopidogrel. Shares of Medicines further declined $3.82, or over 11.5%, to close at $29.28 on February 13, 2014, after the FDA advisory panel voted 7-2 against the approval of Cangrelor.
The complaint further alleges that Medicines made materially false and misleading statements regarding the company's business, operational, compliance policies and improperly touted Cangrelor despite the fact that the drug did not show superiority to Clopidogrel and that the company's CHAMPION clinical trials were unethically and inappropriately administrated.
Medicines Shareholders Are Encouraged to Contact Shareholder Rights Law Firm Robbins Arroyo
If you invested in Medicines 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/the-medicines-company
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