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YMAB.US
id: 549

Y-mAbs (YMAB) Investor Settlement

S.D. New York
Court
1:23-cv-00431
Case number
06 Oct 2020
Class period Start
28 Oct 2022
Class period End
Y-mAbs Therapeutics has settled with $YMAB investors over claims related to the issues with FDA approval of its cancer drug.

Outline

In 2020, Y-mAbs was accused of misleading investors about the chances of FDA approval for their cancer drug, Omburtamab. The company publicly assured that it could resolve the FDA’s concerns. However, in October 2022 the FDA voted against the approval. Following this, $YMAB fell, and Y-mAbs faced a lawsuit from investors.

Timeline
  • On October 5, 2020: Y-mAbs announced that the FDA didn’t approve its cancer drug.
  • On March 31, 2022: Y-mAbs resubmitted the application for the drug.
  • On October 26, 2022: The FDA released a report highlighting issues with the effectiveness of the treatment.
  • On the same day, $YMAB fell 76.21%.
  • On October 28, 2022: The FDA committee voted against approving Omburtamab.
  • On January 18, 2023: Investors sued Y-mAbs for misleading about FDA approval.
Background

On October 5, 2020, the FDA denied Y-mAbs application for Omburtamab, a treatment for children with cancer.

The FDA said there wasn’t sufficient evidence to demonstrate the treatment's effectiveness. They also had concerns about the reliability and comparability of patient data used to support the application.

Despite Y-mAbs' public assurances of addressing these issues, they resubmitted the application on April 1, 2022, without fully resolving the FDA's concerns.

On October 26, 2022, the FDA released a report reiterating their concerns.

On the same day, $YMAB fell by 76%.

In 2023, shareholders filed a class action lawsuit against Y-mAbs, stating that the company misled them about the FDA approval process and the effectiveness of Omburtamab.

What can investors expect now?

Y-mAbs Therapeutics has reached an agreement with $YMAB investors who claimed the company misled them about FDA approval chances for the Omburtamab.

If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section below.
Case Status
Stipulative Settlement
Alleged Offence
Mismanagement
Misleading Statements
Malpractice
Negligence
Breach of Fiduciary duty
Omissions
Suspected Party
Directors
Management
Government Authority
Service Provider
Research Entity
Security Type
Stocks
Trade Direction
Long
Filing date
18 January 2023
Lead Plaintiff Deadline
21 March 2023
Plaintiffs
Omar Miramontes
Attorneys
Glancy Prongay & Murray LLP (New York, NY), Pomerantz LLP (New York, NY)
Defendants
Thomas Gad, Claus Juan Moller San Pedro, Vignesh Rajah
Judge
Arun Subramanian
Trades matching type
FIFO

Frequently Asked Questions

Y mAbs Therapeutics

Y-mAbs Therapeutics, Inc., a commercial-stage biopharmaceutical company, focuses on the development and commercialization of antibody based therapeutic products for the treatment of cancer in the U...

    Ticker
    YMAB.US
    ISIN
    US9842411095
    CIK
    1722964
    Sector
    Healthcare
    Industry
    Biotechnology
    Country
    USA
    Address
    230 Park Avenue, New York, NY, United States, 10169