HAGENS BERMAN, NATIONAL TRIAL ATTORNEYS, Updates ATNX, LDOS, XL Investors on Securities Fraud Lawsuits, Encourages Investors with Losses to Contact the Firm

SAN FRANCISCO, CA / ACCESSWIRE / March 11, 2021 /Hagens Berman updates investors in the following publicly-traded companies and urges investors who have suffered significant losses to contact the firm. Further details about the cases, including important upcoming deadlines, can be found at the links provided.

NASDAQ:ATNX Investors Click Here.

NYSE:LDOS Investors Click Here.

NYSE:XL Investors Click Here.

Athenex, Inc. (NASDAQ:ATNX) Securities Class Action:

Class Period: Aug. 7, 2019 - Feb. 26, 2021

Lead Plaintiff Deadline: May 3, 2021

Visit:www.hbsslaw.com/investor-fraud/ATNX

Contact An Attorney Now:ATNX@hbsslaw.com

844-916-0895

The Complaint alleges that throughout the Class Period, Defendants made false statements and omissions about its flagship drug candidate, an oral paclitaxel and encequidar for the treatment of metastatic breast cancer.

Specifically, Defendants misrepresented and concealed that: (i) the data included in the Oral Paclitaxel plus Encequidar New Drug Application presented a safety risk to patients; (ii) there was uncertainty over the results of the primary endpoint of objective response rate (ORR), which might have introduced unmeasured bias and influence on the blinded independent central review (BICR); (iii) the Company's Phase 3 study did not include a representative population; and (v) as a result, it was foreseeable that the FDA would not approve the Company's NDA in its current form.

On Mar. 1, 2021, the market learned the truth when Athenex announced it received the FDA's complete response letter ("CRL") to the NDA for oral paclitaxel plus encequidar. In the CRL, the FDA cited safety risks to patients in terms of an increase in neutropenia-related sequalae. The CRL also cited uncertainty over the results of the primary endpoint of the ORR at week 19, which might have introduced unmeasured bias and influence on the BICR. The FDA further recommended that "Athenex conduct a new adequate and well-conducted clinical trial in a patient population with metastatic breast cancer representative of the population in the U.S."

On this news, shares of Athenex stock fell approximately 55% in one day.

"We're focused on investors' losses and proving Athenex intentionally misled investors about its leading drug candidate," said Reed Kathrein, the Hagens Berman partner leading the investigation.

If you are an Athenex investor and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.

Leidos Holdings, Inc. (NYSE:LDOS) Securities Fraud Class Action:

Class Period: May 4, 2020 - Feb. 23, 2021

Lead Plaintiff Deadline: May 3, 2021

Visit:www.hbsslaw.com/investor-fraud/LDOS

Contact An Attorney Now:LDOS@hbsslaw.com

844-916-0895

The complaint centers on the accuracy of defendants' statements about Leidos' SD&A business, which the company acquired from L3Harris Technologies in May 2020 for $1 billion and touted as having compelling strategic and operational benefits.

Specifically, defendants materially overstated the benefits of the acquisition and did not disclose that Leidos' products suffered from numerous product defects that included faulty explosive detection systems at airports, ports and borders. As a result, the company's financial results were significantly overstated.

The truth emerged through a series of partial disclosures beginning on Feb. 16, 2021 when analyst Spruce Point published a scathing report concluding that Leidos had "wasted" $1b on the SD&A acquisition. Spruce Point stated, "We believe Leidos is potentially covering up at least $100m of fictitious sales, mischaracterizing $355 - $367m of international revenue." Spruce Point also alleged that the company is "concealing numerous product defects from investors, notably faulty explosive detection systems at airports and borders." Spruce Point further avers that management may be intentionally inflating certain of Leidos' financial metrics, including operating cash flow and organic sales growth, to obscure strains from investors.

Then, on Feb. 23, 2021, Leidos released mixed Q4 2020 financial results and disappointing 2021 outlook, including guided revenue and EPS well below analyst consensus. The same day, Spruce Point highlighted the poor 2021 outlook and picked up on a SD&A accounting discrepancy, tweeting "[t]his asset is a total black box."

Finally, on Feb. 24, 2021 Spruce Point highlighted that Leidos "materially expanded" its risk disclosures in its 2020 annual report, tweeting "[w]e believe it is validating all the major points of our report."

On these disclosures, the price of Leidos shares sharply declined.

"We're focused on investor losses and proving Leidos misled investors about its SD&A business," said Reed Kathrein, the Hagens Berman partner leading the investigation.

If you are a Leidos investor, click here to discuss your legal rights with Hagens Berman.

XL Fleet Corp. (NYSE:XL) Securities Fraud Class Action:

Class Period: Oct. 2, 2020 - Mar. 2, 2021

Lead Plaintiff Deadline: May 7, 2021

Visit:http://www.hbsslaw.com/investor-fraud/xl

Contact An Attorney Now:XL@hbsslaw.com

844-916-0895

The complaint alleges that: (1) XL's sales pipelines was materially inflated; (2) XL grossly overstated its customer base; (3) XL's technology had been materially overstated and did not provide customers the represented cost savings; and (4) that XL lacks the supply chain and engineers to roll out new products on the announced timelines.

The truth emerged on Mar. 3, 2021, when analyst Muddy Waters published a report calling XL "More SPAC Trash." Based on interviews with former employees, Muddy Waters claimed that salespeople "were pressured to inflate their sales pipelines materially," and that "customer reorder rates are in reality quite low" due to "poor performance and regulatory issues." The report also alleged that "at least 18 of 33 customers XL featured were inactive." Muddy Waters also claimed that XL has "weak technology" and that "XL's announcement of future class 7-8 upfits seems highly promotional" because the task is "too technologically complex for XL engineers to deliver on the promised timeline."

Then, on Mar. 4, 2021, after XL issued a denial, Muddy Waters criticized XL's "placeholder response," tweeting, "We spoke to a fleet manager for one of the companies XL brags about in its response. He said MPG gains only ~10%, not 25%. He said didn't help for highway driving. Also his company bought at a deep discount. Tell. The. Truth."

In response, the Company's share price declined $5.55, or 33% over three trading days.

Finally, on Mar. 10, 2021, after XL issued a more detailed response, Muddy Waters released another report, observing that XL did not deny key allegations, including (1) its inflated pipeline, (2) overstated customer base, and (3) low customer reorder rates.

"We're focused on investors' losses and proving XL misled investors by exaggerating its order backlog," said Reed Kathrein, the Hagens Berman partner leading the investigation.

If you are an XL investor and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.

Whistleblowers: Persons with non-public information regarding Athenex, Leidos, and/or XL Fleet should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email ATNX@hbsslaw.com, LDOS@hbsslaw.com, and/or XL@hbsslaw.com.

# # #

About Hagens Berman
Hagens Berman is a national law firm with eight offices in eight cities around the country and over eighty attorneys. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes is located at hbsslaw.com. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.

Contact:
Reed Kathrein, 844-916-0895