Abraham, Fruchter & Twersky, LLP Announces That a Class Action Lawsuit Has Been Filed against AVEO P
Mar 22nd 2013 1:07PM
Updated May 14th 2013 5:35PM
Abraham, Fruchter & Twersky, LLP Announces That a Class Action Lawsuit Has Been Filed against AVEO Pharmaceuticals, Inc.
NEW YORK--(BUSINESS WIRE)-- Abraham, Fruchter & Twersky, LLP announces that a securities class action lawsuit has been filed in the United States District Court for the District of Massachusetts on behalf of all persons or entities who purchased the common stock of AVEO Pharmaceuticals, Inc. ("AVEO" or the "Company") (NAS: AVEO) between January 3, 2012 through May 1, 2013, inclusive (the "Class Period"). The complaint alleges violations of Section 10(b) of the Securities and Exchange Act of 1934 and Rule 10b-5, promulgated thereunder, against the Company and certain of its officers and directors.
The complaint alleges that throughout the Class Period, defendants failed to disclose that the U.S. Food and Drug Administration ("FDA") had recommended that the Company conduct an additional phase 3 trial due to adverse trends in the Company's first Phase III trial (TIVO-1) for Tivopath or Tivozanib, the Company's product for the treatment of advanced kidney cancer. The complaint also alleges that the Company had known but failed to disclose that there was a 25% higher rate of death associated with Tivozanib compared to the control drug, Sorafenib. In addition, the complaint alleges that the Company did not disclose that almost 90% of the patients studied in the Company's Phase III trial were enrolled from sites in Central and Eastern Europe where treatment patterns were inconsistent with those in the United States. This information that the Company knew and hid from the public was uncovered in the FDA's April 30, 2013 Oncologic Drugs Advisory Committee ("ODAC") Briefing Document.
On May 2, 2013, the ODAC voted by an overwhelming majority (13 to 1) not to recommend approval of Tivozanib, because "the application...did not demonstrate a favorable benefit-to-risk evaluation for the treatment of advanced renal cell carcinoma (RCC) in an adequate and well-controlled trial." On this news, AVEO shares declined another $2.61 per share or nearly 50%, to close at $2.65 per share on May 2, 2013, on volume of over 15 million shares.
If you purchased the common stock of AVEO between January 3, 2012 through May 1, 2013 and would like to serve as lead plaintiff in this action, you must move the Court no later than July 8, 2013. Any member of the proposed class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain a member of the proposed class.
If you would like to discuss this action or if you have any questions concerning this notice or your rights as a potential class member or lead plaintiff, you may contact: Jack Fruchter or Arthur J. Chen of Abraham, Fruchter & Twersky, LLP toll free at (800) 440-8986, or via e-mail at firstname.lastname@example.org or email@example.com.
Abraham, Fruchter & Twersky, LLP has extensive experience in securities class action cases, and the firm has been ranked among the leading class action law firms in terms of recoveries achieved by a survey of class action law firms conducted by Institutional Shareholder Services.
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Abraham, Fruchter & Twersky, LLP
Jack G. Fruchter / Arthur J. Chen, 800-440-8986
KEYWORDS: United States North America Massachusetts
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