NEW YORK, Sept. 20, 2016
/PRNewswire/ -- Faruqi & Faruqi, LLP, a leading national
securities law firm, reminds investors in CytRx Corporation
("CytRx" or the "Company") (NASDAQ:CYTR) of the September 23, 2016 deadline to seek the role of
lead plaintiff in a federal securities class action lawsuit filed
against the Company and certain officers.
The lawsuit has been filed in the U.S. District Court for the
Central District of California on
behalf of all those who acquired CytRx securities between
November 18, 2014, and July 11, 2016 (the "Class Period"). The
case Nicholas Crihfield v. CytRx
Corporation et al., No. 2:16-cv-05519 was filed on July 25, 2016, and has been assigned to Judge
S. James Otero.
The lawsuit focuses on whether the Company and its executives
violated federal securities laws by making false and/or misleading
statements and/or failed to disclose: (1) the clinical hold on the
Phase 3 trial of aldoxorubicin for STS would prevent sufficient
follow-up for patients involved in the study; (2) as a result,
nearly half of all patients would be excluded from the progression
free survival evaluation; (3) in response, CytRx would likely
conduct a second analysis; (4) the results of the trial could be
materially affected and/or approval of aldoxorubicin for STS could
be delayed; and (5) as a result, the Company's statements about
CytRx's business, operations, and prospects, were false and
misleading and/or lacked a reasonable basis.
Specifically, on July 11, 2016,
CytRx issued a press release announcing the results of the
Company's Phase 3 clinical trial of aldoxorubicin compared to
investigator's choice therapy in patients with relapsed or
refractory soft tissue sarcomas. The press release disclosed that
the Phase 3 clinical trial failed to show a significant difference
between aldoxorubicin and investigator's choice therapy. In
addition, CytRx disclosed that a partial clinical hold in
November 2014 led to insufficient
follow-up for approximately two-thirds of patients who entered the
study after the hold was resolved. As a result, nearly half of all
patients were excluded from the evaluation. Lastly, CytRx announced
that it would conduct a second analysis that will include a longer
patient follow-up and allow for greater maturation of all
endpoints.
On this news, CytRx's share price fell from $2.51 per share on July
11, 2016 to a closing price of $1.01 on July 12,
2016—a $1.50 or a 59.76% drop.
Request more information now by clicking here:
www.faruqilaw.com/CYTR . There is no cost or obligation
to you.
Take Action
If you invested in CytRx common stock or options between
November 18, 2014, and July 11, 2016 and would like to discuss your
legal rights, visit www.faruqilaw.com/CYTR. You can also contact us
by calling Richard Gonnello toll
free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to
rgonnello@faruqilaw.com. Faruqi & Faruqi, LLP also
encourages anyone with information regarding CytRx's conduct to
contact the firm, including whistleblowers, former employees,
shareholders and others.
The court-appointed lead plaintiff is the investor with the
largest financial interest in the relief sought by the class that
is adequate and typical of class members who directs and oversees
the litigation on behalf of the putative class. Any member of the
putative class may move the Court to serve as lead plaintiff
through counsel of their choice, or may choose to do nothing and
remain an absent class member. Your ability to share in any
recovery is not affected by the decision of whether or not to serve
as a lead plaintiff.
Attorney Advertising. The law firm responsible for this
advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com).
Prior results do not guarantee or predict a similar outcome with
respect to any future matter. We welcome the opportunity to discuss
your particular case. All communications will be treated in a
confidential manner.
FARUQI & FARUQI, LLP
685 Third Avenue, 26th Floor
New York, NY 10017
Attn: Richard Gonnello,
Esq.
rgonnello@faruqilaw.com
Telephone: (877) 247-4292 or (212) 983-9330
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