Spectrum Pharmaceuticals, Inc. Sued by Shareholders
SAN DIEGO and HENDERSON, Nev., March 21, 2013
SAN DIEGO and HENDERSON, Nev., March 21, 2013 /PRNewswire/ --Shareholder
rights attorneys at Robbins Arroyo LLP announce that purchasers of Spectrum
Pharmaceuticals, Inc. (NASDAQ: SPPI) common stock have filed a complaint in
the U.S. District Court for the District of Nevada. The complaint charges the
company and certain of its officers and directors with violating the
Securities Exchange Act of 1934 between August 8, 2012, and March 12, 2013
(the "Class Period").
Spectrum Officials Accused of Misrepresenting to Shareholders the Sales
Prospects of Cancer Drug FUSILEV
The complaint alleges that Spectrum, a biotechnology company with fully
integrated commercial and drug development operations and a focus in
hematology and oncology, and certain of its officers and directors issued a
series of materially false and misleading statements to investors regarding
the sales prospects of its oncology drug, FUSILEV, a drug intended as a
treatment for advanced metastatic colorectal cancer. Specifically, the
complaint alleges that throughout the Class Period, company officials
misrepresented and failed to disclose the potential negative impact on sales
of FUSILEV presented by the increased availability of generic drug Leucovorin.
While Spectrum officials issued statements downplaying the potential impact
of generic alternatives, the company's stock traded at artificially inflated
prices, reaching a high of $13.05 per share on September 18, 2012.
Spectrum Stock Price Drops Following Its 2013 Decreased Revenue Guidance:
Concerned Shareholders Respond with Lawsuit
On March 12, 2013, the company issued a press release announcing that sales of
its drug, FUSILEV, would be significantly lower during 2013 due to the recent
stabilization of the folate analog market and the increased availability of
generic drug Leucovorin. As a result, the company decreased its 2013 revenue
guidance from approximately $300 million to as low as $160 million. In
response to this news, Spectrum shares declined $4.64 per share, or
approximately 37%, closing at $7.79 per share on March 13, 2013.
Robbins Arroyo LLP highlights that concerned Spectrum shareholders have
several potential options available to them. To discuss your shareholder
rights, please contact attorney Darnell R. Donahue at (800) 350-6003,
firstname.lastname@example.org, or via the shareholder information form on the
Robbins Arroyo LLP is a nationally recognized leader in securities litigation
and shareholder rights law. The firm represents individual and institutional
investors in shareholder derivative and securities class action lawsuits, and
has helped its clients realize more than $1 billion of value for themselves
and the companies in which they have invested. For more information, please
go to http://www.robbinsarroyo.com.
Press release link:
Attorney Advertising.Past results do not guarantee a similar outcome.
Darnell R. Donahue
Robbins Arroyo LLP
(619) 525-3990 or Toll Free at (800) 350-6003
SOURCE Robbins Arroyo LLP
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