SAN FRANCISCO, CA / ACCESSWIRE / March 30, 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.
ATNX Investors Click Here.
EBIX Investors Click Here.
EH 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.
Ebix, Inc. (NASDAQ:EBIX) Securities Fraud Class Action:
Class Period: Nov. 9, 2020 - Feb. 19, 2021
Lead Plaintiff Deadline: April 23, 2021
Visit:www.hbsslaw.com/cases/EBIX
Contact An Attorney Now:EBIX@hbsslaw.com
844-916-0895
The complaint alleges that, throughout the Class Period, Defendants misrepresented and concealed that: (1) there was insufficient audit evidence to determine the business purpose of certain significant unusual transactions in Ebix's gift card business in India during 4Q 2020; (2) that there was a material weakness in Company's internal controls over the gift or prepaid revenue transaction cycle; and (3) that the Company's independent auditor, RSM, was reasonably likely to resign over disagreements with Ebix regarding $30 million that had been transferred into a commingled trust account of Ebix's outside legal counsel.
Investors allegedly began to learn the truth on Feb. 19, 2021 when RSM abruptly resigned, stating that that "despite repeated inquiries" RSM was unable to obtain sufficient audit evidence to "evaluate the business purpose of significant unusual transactions that occurred in the fourth quarter of 2020, including whether such transactions have been properly accounted for and disclosed in the financial statements subject to the Audit." These "unusual transactions" concerned the company's gift card business in India.
In addition, RSM and Ebix reportedly disagreed over whether $30 million transferred to a comingled trust account of Ebix's outside counsel should still be classified as cash on Ebix's balance sheet, even though those funds were outside Ebix's direct control.
On this news, the Company's share price fell as much as $20.24, or 40%, in a single trading day.
Most recently, on Mar. 8, 2021, Ebix announced it has retained KG Somani & Co. as its new auditor, that it would not file its annual report until Apr. 20, 2021, and that Board-appointed consultants and outside legal counsel are continuing "to evaluate the payment solutions business."
"We're focused on investors' losses and proving Ebix insiders cooked the company's books," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in Ebix shares and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
EHang Holdings Limited (NASDAQ:EH) Securities Litigation:
Class Period: Dec. 9, 2019 - Feb. 16, 2021
Lead Plaintiff Deadline: Apr. 19, 2021
Visit:www.hbsslaw.com/investor-fraud/ehang
Contact An Attorney Now:EHang@hbsslaw.com
844-916-0895
The Complaint alleges that throughout the Class Period, Defendants misrepresented and concealed that: (i) E-Hang's purported regulatory approvals in Europe and North American for its EH216 were for use as a drone, and not for carrying passengers; (ii) its relationship with its purported primary customer, Kunxiang, is a sham; (iii) EHang has only collected on a fraction of its reported sales since its ADS began trading on NASDAQ in December 2019; and (iv) the Company's manufacturing facilities were practically empty and lacked evidence of advanced manufacturing equipment or employees.
Investors allegedly learned the truth on February 16, 2021, when analyst Wolfpack Research issued a scathing report about the company. Wolfpack Research contends that Kunxiang has entered into sham contracts to benefit EH's stock price. Wolfpack Research also alleges that EH has exaggerated revenues by reporting sales for which it cannot collect. Wolfpack Research further avers that EH makes false claims about regulatory approvals the company has purportedly received, misleadingly suggesting the company has commercial approval for its products.
On this news, the price of EHang's shares dropped $77.79 per share (or 62.7%) in one trading day.
"We're focused on investor losses and proving EH lied about its revenues, customers and regulatory approvals," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you are an EH investor, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Athenex, EHang, and/or Ebix 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, EBIX@hbsslaw.com, and/or EHang@hbsslaw.com.
About Hagens Berman
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Contact:
Reed Kathrein
844-916-0895
SOURCE: Hagens Berman Sobol Shapiro LLP
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