AMAG Pharmaceuticals, Inc. is an American pharmaceutical company that develops and sells treatments for iron deficiency anemia in adults.
According to the Complaint filed March 18, 2010, on or about January 21, 2010, the Registration Statement with respect to the Secondary Offering became effective and 3.6 million shares of AMAG common stock were sold to the public at $48.25 per share, thereby raising more than $173 million.
The Complaint alleges that the Registration Statement failed to disclose that users of the Company's primary drug, Feraheme, had suffered adverse reactions, some requiring hospitalization. On February 4, 2010, Carol Werther, a Summer Street analyst downgraded AMAG from buy to neutral. In a note to clients she wrote, "We are aware of several patients hospitalized with anaphylactiod reactions to Feraheme. We are aware of one death that may or may not be directly related to Feraheme." On disclosure of this news, AMAG's stock fell over $7.00 per share to close at $38.12 per share.
On July 27, 2010, Judge Nathaniel M. Gorton signed the Order appointing the AMAG Investor Group as lead Plaintiff and approving Abraham, Fruchter & Twersky, LLP as lead Counsel and Pyle Rome Ehrenberg PC as liaison Counsel. On September 15, 2010, the lead Plaintiff filed an Amended Class Action Complaint, adding certain company directors as named Defendants. The Plaintiff filed a Second Amended Class Action Complaint on December 17, 2010, naming the company underwriters as named Defendants. The Defendants responded by filing a motion to dismiss the Second Amended Class Action Complaint. On August 15, 2011, the motions to dismiss were allowed, and the case was dismissed.
On September 14, 2011, the Plaintiff filed a Notice of Appeal. On February 4, 2013, the United States Court of Appeals for the First Circuit vacated the district court's judgment and remanded for further proceedings.
On September 12, 2014, the partied entered into a Stipulation of Settlement. This Settlement was preliminarily approved by the Court on October 2. On January 30, 2015, the Court granted Final Approval of the Settlement and ordered this case dismissed with prejudice.
