SAN FRANCISCO (Legal Newsline) - Portola Pharmaceuticals Inc. misled investors by exaggerating the potential of a new drug, a class action lawsuit contends.
Portola called Andexxa, used as an antidote to anticoagulation drugs, “one of the most successful drug launches in history” the lawsuit by the Southeast Pennsylvania Transportation Authority said. The company in August 2019 had a stock offering, raising $250 million for the company, according to the suit.
“Portola’s materially false and misleading statements and omissions inflated the price of Portola stock,” the complaint alleges.
The wholesale price of nearly $50,000 per dose, dampened sales, the suit said. “The company knowingly concealed from investors that the ‘strong demand’ for Andexxa simply did not exist,” it says.
The securities suit, on behalf of those who purchased shares of Portola’s common stock from Jan. 8, 2019, to Feb. 26, 2020, seeks unspecified monetary damages plus attorney fees.
Southeastern Pennsylvania Transportation Authority v. Portola Pharmaceuticals, Inc. U.S. District Court, Northern District of California. 3:20-CV-01501