NEW YORK, Sept. 5, 2014 /PRNewswire/ -- Pomerantz LLP
has filed a class action lawsuit against Galectin Therapeutics,
Inc. ("Galectin" or the "Company")(NASDAQ: GALT) and certain
of its officers. The class action, filed in United States
District Court, District of Nevada, and docketed under 14-cv-01287, is on
behalf of a class consisting of all persons or entities who
purchased Galectin securities between January 6, 2014 and July
28, 2014, inclusive (the "Class Period"). This class
action seeks to recover damages against Defendants for alleged
violations of the federal securities laws under the Securities
Exchange Act of 1934 (the "Exchange Act").
If you are a shareholder who purchased Galectin securities
during the Class Period, you have until September 29, 2014 to ask the Court to appoint
you as Lead Plaintiff for the class. A copy of the Complaint
can be obtained at www.pomerantzlaw.com. To discuss this
action, contact Robert S. Willoughby
at rswilloughby@pomlaw.com or 888.476.6529 (or 888.4-POMLAW), toll
free, x237. Those who inquire by e-mail are encouraged to include
their mailing address, telephone number, and number of shares
purchased.
Galectin is a development stage company engaged in the research
and development of therapies for fibrotic disease and cancer. The
Company's lead product candidates include GR-MD-02, a complex
polysaccharide polymer for the treatment of liver fibrosis and
fatty liver disease (nonalcoholic steatohepatitis or "NASH").
The Complaint alleges that throughout the Class Period,
Defendants made false and/or misleading statements, and failed to
disclose material adverse facts about the Company's business,
operations, prospects and performance. Specifically, during the
Class Period, defendants made false and/or misleading statements
and/or failed to disclose that: (1) the Company was utilizing
the services of paid stock promoters to disseminate positive but
misleading reports about Galectin's prospects; (2) moreover,
GR-MD-02 did not provide the benefits suggested by Defendants when
discussing the patent the Company was awarded or the Phase 1
clinical trial it was conducting; and (3) as a result of the above,
the Company's financial statements were materially false and
misleading at all relevant times.
On July 28, 2014, Bleecker Street
Research published an article on SeekingAlpha.com claiming
that Galectin "has strong ties to stock promoters" engaging in a
misleading brand awareness campaign aimed at boosting its stock
price.
On July 28, 2014, Adam Feuerstein ("Feuerstein") published an
article on TheStreet.com revealing that Emerging Growth
Corp. ("Emerging Growth"), through its parent company TDM Financial
("TDM"), a penny-stock promotions firm, was the investor relations
and marketing company Galectin was paying for misleading
promotional campaigns to entice investors to buy its stock.
On this news, Galectin's stock fell $8.84 per share to close at $5.70 per share on July
29, 2014, a one-day decline of nearly 61% on volume of
nearly 7.7 million shares.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and San
Diego, is acknowledged as one of the premier firms in the
areas of corporate, securities, and antitrust class litigation.
Founded by the late Abraham L.
Pomerantz, known as the dean of the class action bar, the
Pomerantz Firm pioneered the field of securities class actions.
Today, more than 70 years later, the Pomerantz Firm continues in
the tradition he established, fighting for the rights of the
victims of securities fraud, breaches of fiduciary duty, and
corporate misconduct. The Firm has recovered numerous
multimillion-dollar damages awards on behalf of class members. See
www.pomerantzlaw.com.
CONTACT:
Robert S.
Willoughby
Pomerantz LLP
rswilloughby@pomlaw.com
SOURCE Pomerantz LLP