Robbins LLP: Intercept Pharmaceuticals, Inc. (ICPT) Misled Shareholders According to a Recently Filed Class Action
Robbins LLP announces that a class action complaint was filed against Intercept Pharmaceuticals, Inc. (NasdaqGS: ICPT). The complaint is brought on behalf of all purchasers of Intercept securities between May 31, 2016 and September 20, 2017, for alleged violations of the Securities Exchange Act of 1934 by Intercept’s officers and directors. Intercept, a biopharmaceutical company, develops and commercializes therapeutics to treat non-viral, progressive liver diseases. The company’s lead product candidate is Ocaliva (obeticholic acid).
Intercept Accused of Failing to Disclose Major Risks Associated With Its Drug
According to the complaint, on May 31, 2016, Intercept announced that the U.S. Food and Drug Administration (“FDA”) had approved Ocaliva to treat patients with primary biliary cholangitis (“PBC”). Intercept further stated that Ocaliva fills an important unmet need for PBC patients who have had an inadequate response or are intolerant to the only other approved treatment. Intercept repeatedly touted the drug’s promising abilities in its public statements while failing to report that Ocaliva had undisclosed safety risks, including death, to patients suffering from PBC. On September 21, 2017, the FDA issued a safety announcement warning doctors after reports of multiple deaths linked to the drug. The FDA specifically cautioned that Ocaliva is being incorrectly dosed in patients with moderate to severe decreases in liver function, resulting in an increased risk of serious liver injury and death, and that Ocaliva may be associated with injury in some patients who are receiving the correct dose. On this news, Intercept’s stock fell $24.42 per share, or nearly 25%, to close at $73.70 per share on September 21, 2017.
Intercept Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can us via the form below and we will contact you directly.