RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased ACADIA Pharmaceuticals Inc. (“ACADIA” or the “Company”) (NASDAQ: ACAD) securities between July 17, 2014 and July 3, 2018, inclusive (the “Class Period”).
ACADIA shareholders may, no later than September 17, 2018, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of ACADIA and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (844) 291-9299 or to sign up online, click here.
ACADIA is purportedly a biopharmaceutical company focused on the development and commercialization of medicines to address central nervous system disorders. The company claims its lead drug is NUPLAZID, which was approved by the U.S. Food and Drug Administration (“FDA”) on April 29, 2016 for the treatment of hallucinations and delusions associated with Parkinson’s disease psychosis. ACADIA launched NUPLAZID in the U.S. in May 2016.
The Class Period commences on April 29, 2016, when ACADIA issued a press release announcing that the FDA approved NUPLAZID for the treatment of hallucinations and delusions associated with Parkinson’s disease psychosis. ACADIA further stated that “[t]he FDA approval of NUPLAZID was based on data from the pivotal Phase III Study-020 and other supportive studies, representing the largest research and development program in Parkinson’s disease psychosis to date.”
The complaint alleges that, on April 9, 2018, CNN reported that “[p]hysicians, medical researchers and other experts told CNN that they worried that [NUPLAZID] had been approved too quickly, based on too little evidence that it was safe or effective. And given these mounting reports of deaths, they say that more needs to be done to assess Nuplazid’s true risks.” Following this news, ACADIA’s share price fell $5.03 per share, or 23.4%, to close at $16.50 per share on April 9, 018.
Then, on April 25, 2018, CNN reported that the FDA was re-examining the safety of NUPLAZID. Following this news, ACADIA’s share price fell $4.27 per share, or 21.9%, to close at $15.20 per share on April 25, 2018.
Finally, on July 9, 2018, the Southern Investigative Reporting Foundation (the “SIRF”) published a report entitled “Acadia Pharmaceuticals: This Is Not a Pharmaceuticals Company.” Therein, the SIRF stated that “evidence is mounting that something is horribly wrong with ACADIA’s sole drug, NUPLAZID,” and that “ACADIA has accomplished its growth in ways that have attracted intense regulatory scrutiny for other drug companies” including “dispensing wads of cash to doctors to incentivize prescription writing and downplaying mounting reports of patient deaths.” Following this news, ACADIA’s share price fell $1.21 per share, or 6.8%, to close at $16.63 per share on July 9, 2018.
The complaint alleges that throughout the Class Period, the defendants failed to disclose that: (1) adverse events and safety concerns related to NUPLAZID threatened the drug’s initial and continuing FDA approval; (2) ACADIA engaged in business practices likely to attract regulatory scrutiny; and (3) as a result of the foregoing, the defendants’ statements about ACADIA’s business, operations, and prospects, were materially false and/or misleading and/or lacked a reasonable basis.
If you are a member of the class, you may, no later than September 17, 2018, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as “lead plaintiff.” Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain RM LAW, P.C. or other counsel of your choice, to serve as your counsel in this action.