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PHILADELPHIA, July 25, 2019 (GLOBE NEWSWIRE) -- Kehoe Law Firm, P.C. announces that it is investigating securities claims on behalf of investors of Karyopharm Therapeutics Inc. (“Karyopharm” or the “Company”) (NASDAQ: KPTI) to determine whether Karyopharm and certain of its officers or directors engaged in unlawful business practices or securities fraud.
A class action lawsuit was filed on July 23, 2019 against Karyopharm in United States District Court on behalf of a class of Karyopharm investors who purchased, or otherwise acquired, Karyopharm securities between March 2, 2017 and February 22, 2019, both dates inclusive (the “Class Period”).
If you purchased Karyopharm securities during the Class Period and suffered losses, please click Join a Securities Class Action to participate in the lawsuit or contact either John Kehoe, Esq., (215) 792-6676, Ext. 801, firstname.lastname@example.org , or Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, email@example.com , firstname.lastname@example.org , to learn more about the lawsuit or the securities investigation .
Karyopharm shareholders have until September 23, 2019 to move the Court to be appointed lead plaintiff.
According to the complaint, throughout the Class Period, Karyopharm continued to tout the commercial prospects for selinexor and consistently described selinexor (a drug intended for the treatment of various types of cancer, including principally blood cancers) as having a “predictable and manageable tolerability profile” and a “very nice safety profile,” and assured investors that it was “well tolerated” by patients. Karyopharm also claimed that selinexor had the potential to be used as a new treatment for MM (“multiple myeloma”), with limited and manageable side effects. As a result of these misrepresentations, Karyopharm shares, according to the complaint, traded at artificially inflated prices during the Class Period.
The truth, according to the class action complaint, was revealed on February 22, 2019, when, in advance of an FDA advisory committee meeting to review Karyopharm’s New Drug Application for selinexor and assess the drug’s risks and benefits, the FDA released a briefing document expressing serious concerns about the safety and efficacy of selinexor. Of significance, according to the complaint, the FDA revealed that, contrary to Karyopharm’s assurances, the previously cancelled SOPRA trial had resulted in “worse overall survival” for AML (“acute myeloid leukemia”) patients treated with selinexor, which “highlight[ed] the toxicity of this drug.” The FDA also determined that the toxicity observed with selinexor in AML patients in the SOPRA study was “similar” to that observed in MM patients in the STORM study. According to the complaint, the FDA unambiguously concluded that “[t]reatment with selinexor is associated with significant toxicity” and has “limited efficacy.”
As a result of these disclosures, Karyopharm’s stock price fell more than 43% from $8.97 per share to $5.07 per share.
Kehoe Law Firm, P.C. , with offices in New York and Philadelphia, is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors from securities fraud, breaches of fiduciary duties, and corporate misconduct. Combined, the partners at Kehoe Law Firm have served as Lead Counsel or Co-Lead Counsel in cases that have recovered more than $10 billion dollars on behalf of institutional and individual investors.