NEW YORK, Aug. 12, 2016 /PRNewswire/ -- Pomerantz LLP
announces that a class action lawsuit has been filed against Keryx
Biopharmaceuticals, Inc. ("Keryx" or the "Company") (NASDAQ:
KERX) and certain of its officers. The class action,
filed in United States District Court, Southern District of
New York, and docketed under
16-cv-06233, is on behalf of a class consisting of all persons or
entities who purchased or otherwise acquired Keryx securities
between February 25, 2016 and
July 29, 2016 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 Keryx securities during
the Class Period, you have until October 3,
2016 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, ext. 9980. Those who inquire by e-mail are encouraged to
include their mailing address, telephone number, and number of
shares purchased.
[Click here to join this class action]
Keryx is a biopharmaceutical company focused on marketing
therapies for patients with renal disease. The Company's product,
Auryxia (ferric citrate), also known as Riona in Japan and Fexeric in Europe, is an oral, absorbable iron-based
compound, that received marketing approval from the U.S. Food and
Drug Administration ("FDA") in September
2014 for the control of serum phosphorus levels in patients
with chronic kidney disease ("CKD") on dialysis.
The 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 made false and/or misleading statements and/or failed to
disclose that: (i) the Company was experiencing production-related
difficulties in converting API to finished drug product; (ii) the
foregoing difficulties were resulting in decreased production
yields of finished drug product; (iii) consequently, the Company
would exhaust its reserve of finished drug product; and (iv) as a
result of the foregoing, Defendants' statements about Keryx's
business, operations, and prospects, were false and misleading
and/or lacked a reasonable basis.
On August 1, 2016, pre-market,
Keryx announced that it had determined that a supply interruption
of Auryxia was going to occur due to a production-related issue in
converting active pharmaceutical ingredient ("API") to finished
drug product at its contract manufacturer. The Company also
disclosed that this issue has resulted in variable production
yields of finished drug product, and that as a result, the Company
had exhausted its reserve of finished drug product. Finally, the
Company stated that it expects to restore adequate supply of
Auryxia and make Auryxia available to patients during the fourth
quarter of 2016.
On this news, Keryx's stock price fell $2.64 per share, or 35.8%, to close at
$4.72 per share on August 1, 2016, on unusually heavy trading
volume.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and Los
Angeles, 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 80 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
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SOURCE Pomerantz LLP