The Shareholders Foundation announces that an investor, who purchased shares of Galena Biopharma Inc (NASDAQ:GALE), filed a lawsuit in the U.S. District Court for District of Oregon the over alleged violations of Federal Securities Laws by Galena Biopharma Inc in connection with certain allegedly false and misleading statements made between November 6, 2013 and February 14, 2014.
Investors who purchased a significant amount of shares of Galena Biopharma Inc (NASDAQ:GALE) between November 6, 2013 and February 14, 2014, and/or those who purchased NASDAQ:GALE shares in November 2013 or earlier and currently hold any of those shares, have certain options and for certain investors are short and strict deadlines running. Deadline: May 5, 2014. NASDAQ:GALE investors should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 – 1554.
According to the complaint the plaintiff alleges on behalf of all persons or entities who purchased or otherwise acquired securities of Galena Biopharma Inc (NASDAQ:GALE) between November 6, 2013 and February 14, 2014, that Galena Biopharma Inc and certain of its officers and directors violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder.
More specifically, the plaintiff claims that defendants violated the federal securities laws by disseminating alledegly false and misleading statements to the investing public and that as a result of defendants’ statements, Galena Biopharma Inc’s stock traded at artificially inflated between November 6, 2013 and February 14, 2014, reaching a high of $7.48 per share on January 16, 2014.
Galena Biopharma Inc reported that its Net Loss increased from $11.48 million in 2011 to $34.97 million in 2012. Shares of Galena Biopharma Inc (NASDAQ:GALE) grew from $1.78 per share in July 2013 to as high as $7.48 per share on January 16, 2014.
Then on February 12, 2014 an article was published alleging that Galena Biopharma Inc has engaged in a misleading brand awareness campaign designed to boost Galena’s stock price. The article said that “aided by this promotional campaign, Galena shares tripled in value from this summer. Coincidence or not, Galena insiders have made millions of dollars by selling company stock in January.” Additionally, the article represented that Galena Biopharma Inc paid investor relations firm The DreamTeam Group to publish articles under aliases promoting the Company’s stock without disclosing who paid for them.
On February 14, 2014, Galena Biopharma Inc issued a letter to its shareholders denying most of the allegations while acknowledging that the Company had engaged The DreamTeam Group.
Shares of Galena Biopharma Inc (NASDAQ:GALE) declined from $7.48 per share on January 16, 2014 to $3.381 per share on February 18, 2014.
On March 21, 2014, NASDAQ:GALE shares closed at $2.92 per share.
Those who purchased shares of Galena Biopharma Inc (NASDAQ:GALE) have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Trevor Allen
3111 Camino Del Rio North – Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com