According to the law firm press release, ImmunoCellular is a development stage company, and its lead product candidate, ICT-107, is a dendritic cell-based vaccine targeting multiple tumor associated antigens for glioblastoma multiforme.
The Complaint charges that prior to and throughout the Class Period, defendants developed a scheme to manipulate and artificially inflate the stock price of ImmunoCellular. By virtue of this scheme, the market was conditioned to believe that ImmunoCellular’s clinical studies for ICT-107 were going well as the placement of these fraudulent media reports were often timed to coincide with ImmunoCellular’s announcements of ICT-107, so to have maximum impact upon ImmunoCellular’s share price.
Unbeknownst to the market, beginning in September 2011, ImmunoCellular hired Lidingo Holdings, LLC, a stock promotional firm to pump up the value of ImmunoCellular stock. This endeavor included a campaign of planting phony analyst reports and news articles that fawned over ImmunoCellular. In many cases, these phony media reports were written under aliases, and failed to reveal that ImmunoCellular had complete editorial control over their work.
On December 11, 2013, ImmunoCellular revealed that the primary endpoint for its ICT-107 Phase II study "did not reach statistical significance" because it failed to increase overall survival in patients diagnosed with glioblastoma multiforme.
As a result, ImmunoCellular stock declined nearly 60%, to close at $1.10 per share on December 12, 2013.
On July 21, 2017, the Court issued an Order appointing Lead Plaintiffs and Counsel. Lead Plaintiffs filed an amended Complaint on August 24 and a second amended Complaint on October 13. On November 10, Defendants filed a Motion to Dismiss the second amended Complaint. On May 29, 2018, the Court issued an Order granting Defendants' Motion to Dismiss. Lead Plaintiffs were given leave to file an amended Complaint. Lead Plaintiffs filed a third amended Complaint on June 29. On July 11, Lead Plaintiffs voluntarily dismissed two of the individual Defendants.