there are boilerplate allegations that management made "false and misleading statements" but there are NO facts to support the claim. all that is vaguely alleged is that management "touted" the potential success of allovectin. there are no facts to show management intentionally misled anyone. the complaint looks subject to a motion to dismiss. there are numerous other problems. they claim one investor "believed" FDA approval was certain. that is completely irrational and unreasonable. no one guaranteed FDA approval and everyone knows approval for any drug is iffy. even if they could prove a false and misleading statement that cannot show justifiable reliance. will some investor take the stand and admit he was so stupid as to believe approval was a sure thing simply because management talked positively? they also have a weak claim for damage. even if it was approved there is and was NO guarantee of commercial success. many bios pop on approval for a day or two but then sell off when the realities set in - marketing, partnerships, pricing, competition, etc. there are 100s of variable and no claimant investor could possibly prove certain profits. also, no class has been certified yet - how can there be a definite class of people with the exact same distorted, fantastical "beliefs" that the stock would go to the moon. VICL should vigorously fight these claims and file a motion to dismiss
There was an interesting news release on the AnGes Japanese language site following the A-7 news indicating the company would not need to go out of business. AnGes had to tell investors the revenue stream they were projecting from the Vical investment was not going to happen. It causes one to wonder how AnGes was confident enough of the revenue to include it in projections.
I will be first in line. I have emails from VJ personally where he promised me approval. He flew me to San Diego to wine & dine me. I also have a cell phone conversation recorded from VJ demanding that I "put up or shut up" as he called it. I have substantial proof.
Vijay made many misleading statements. One of the biggest revolves around the safety profile of Allovectin 7 and the size of the market that cannot tolerate chemo. Vijay said 10% of those diagnosed with melanoma cannot take chemo. Given a $35 billion annual chemo market, that 10% alone is enough to take A-7 to market, but Vijay decided that market forces required better survival stats than Chemo....really, what about the 10% who can't take it? If A-7 is as good as chemo, but has no ill effects, and can be improved with adjuvants, how did they throw in the towel so easily, with a 10% marketshare begging to be taken? Vijay is toxic, I hope the suits get a dollar and his resignation.
say what???? throw in the towel? it did not receive approval - how is any of what you said misleading????? the allegation is that he over touted allovectin not that he "threw in the towel"
I know a stock holder that put his life savings on the line for a shot at the good life. He has no complaints and is hoping for the best of a come back. Will not sell one Vical share. Singer won't sell any more after his first sells.