April 14 Deadline Alert: Law Offices of Howard G. Smith Reminds Galena Biopharma, Inc. Investors of Upcoming Lead Plaintiff
Deadline
Law Offices of Howard G. Smith reminds investors of the upcoming April 14, 2017 deadline to file a lead
plaintiff motion in the class action filed on behalf of investors who purchased Galena Biopharma, Inc. (“Galena” or the “Company”)
(NASDAQ: GALE) securities between August 11, 2014 and January 31, 2017, inclusive (the “Class Period”). Galena
investors have until April 14, 2017 to file a lead plaintiff motion.
On November 9, 2015 Galena disclosed plans to “divest its commercial business,” which included the Company’s breakthrough cancer
pain drug, Abstral. On this news, the price of Galena common stock fell $0.19 per share, or 11%, to close at $1.53 per share on
November 10, 2015, thereby injuring investors.
Thereafter, on March 10, 2016, the Company disclosed that “[a] federal investigation of two of the high-prescribing physicians
for Abstral has resulted in the criminal prosecution of the two physicians for alleged violations of the federal False Claims Act
and other federal statutes,” and that the Company had received a trial subpoena for documents in connection with that
investigation. The Company further disclosed that “other governmental agencies may be investigating our Abstral promotion
practices,” and that “on December 16, 2015, we received a subpoena issued by the U.S. Attorney’s Office in District of New
Jersey requesting the production of a broad range of documents pertaining to our marketing and promotional practices for Abstral.”
On this news, the price of Galena common stock fell 3.3%.
Finally, on January 31, 2017, the Company announced the resignation of Mark W. Schwartz, who was with the Company at the time of
the above disclosures, from his positions as President, Chief Executive Officer, and a member of the Board of Directors. On this
news, the price of Galena common stock fell 22.4%, thereby further injuring investors.
The filed complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as
well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants
failed to disclose: (1) that the Company violated various statutes in connection with its sales of Abstral; (2) that, as such, the
Company was exposed to civil and criminal liability; and (3) that, as a result of the foregoing, Defendants’ statements about
Galena’s business, operations, and prospects, were false and misleading and/or lacked a reasonable basis.
If you purchased Galena shares, you may move the Court no later than April 14, 2017 to request appointment as
lead plaintiff. To be a member of the class you need not take any action at this time; you may retain counsel of your choice or
take no action and remain an absent member of the Class. If you wish to learn more about this action, or if you have any
questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith,
Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215)
638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at http://www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com
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