NEW YORK, May 30, 2014 /PRNewswire/ -- Milberg LLP announces that class action lawsuit has been filed in the United States District Court for the Massachusetts District on behalf of purchasers of Vertex Pharmaceuticals Inc. ("Vertex" or the "Company) (NasdaqGS: VRTX) common stock during the period May 7, 2012 to May 29, 2012 ("the Class Period").
The complaint alleges that throughout the Class Period, defendants violated the federal securities laws by disseminating false and misleading statements to the investing public.
Specifically, the complaint alleges that on May 7, 2012, the start of the Class Period, Vertex announced positive "interim data" from its Phase 2 study of VX-809 and Kalydeco. The positive news sparked a rally in the Company's stock price, causing it to rise from its May 4, 2012, closing price of $37.41 to $58.12 per share at the close on May 7, 2012.
As Defendants continued to feed the market positive interim Phase 2 study results, the Company's stock traded as high as $64.94 on May 25, 2012. Concurrently, certain individual Defendants capitalized of this stock price increase to sell more than $30 million of Vertex stock.
On May 29, 2012, Vertex announced that the exceptional results of the Phase 2 study of the two medications were grossly overstated. On this news, the Company's stock price fell from a close of $64.85 on May 25, 2012 to a close of $57.80 on May 29, 2012. The 10.8% decline on 5/29/2012 resulted in a $1.5 billion market cap loss.
If you purchased Vertex shares between May 7, 2012 and May 29, 2012, you may no later than July 28, 2014, request that the Court appoint you lead plaintiff. A lead plaintiff is a class member that directs the litigation. Your share in any recovery will not be affected by serving as a lead plaintiff. You do not need to be a lead plaintiff to recover. You may retain Milberg LLP, or other attorneys, for this action, but do not need to retain counsel to recover. If this action is certified as a class action, class members will be automatically represented by Court-appointed counsel. The complaint in this action was not filed by Milberg.
If you would like to learn more about this potential matter, please contact the following attorney:
Andrei Rado, Esq.
One Pennsylvania Plaza, 49th Fl.
New York, NY 10119-0165
Phone number: (800) 320-5081
SOURCE Milberg LLP