Ophthotech Corporation Accused of Misrepresenting Approval Capacity of Its Drug

Investors of Ophthotech Corporation (OPHT) filed a securities class action complaint against the company's officers and directors for alleged violations of the Securities Exchange Act of 1934 between May 11, 2015 and December 12, 2016.  According to the complaint, Ophthotech misrepresented Fovista's efficacy and potential for approval by the U.S. Food and Drug Administration.  For example, Ophthotech touted that Fovista was "well position to potentially be first to market in this class of novel therapy for wet " and that it had made "significant progress related to clinical development."  It came as a surprise to investors when Ophthotech revealed on December 12, 2016 that Fovista, administered in combination with Lucentis, had failed to achieve its primary endpoint in two phase 3 clinical trials.  On this news, Ophthotech's stock fell approximately 86% to close at $5.29 per share on December 12, 2016.  In a year's time, the company's stock has since fallen even further, closing at only $2.89 per share on December 11, 2017.