The Shareholders Foundation announces that an investigation on behalf of current long-term investors in shares of was initiated concerning whether certain Galena Biopharma directors and officers breached their fiduciary duties and caused damages to the company and NASDAQ:GALE stockholders. The investigation by a law firm for current long term investors in Galena Biopharma Inc (NASDAQ:GALE) stocks follows a lawsuit that was recently filed against Galena Biopharma Inc over alleged securities laws violations.
Investors who are current long term investors in Galena Biopharma Inc (NASDAQ:GALE) shares, have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 – 1554.
The investigation on behalf of current long term investors in Galena Biopharma Inc (NASDAQ:GALE) stocks concerns whether certain Galena Biopharma officers and directors are liable in connection with the allegations made in that lawsuit.
According to that complaint filed in the U.S. District Court for District of Oregon the plaintiff alleges that Galena Biopharma Inc violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. More specifically, the plaintiff claims that defendants violated the federal securities laws by disseminating alledegly false and misleading statements to the investing public and that as a result of defendants’ statements, Galena Biopharma Inc’s stock traded at artificially inflated between November 6, 2013 and February 14, 2014, reaching a high of $7.48 per share on January 16, 2014.
On February 12, 2014 an article was published alleging that Galena Biopharma Inc has engaged in a misleading brand awareness campaign designed to boost Galena’s stock price. The article said that “aided by this promotional campaign, Galena shares tripled in value from this summer. Coincidence or not, Galena insiders have made millions of dollars by selling company stock in January.” Additionally, the article represented that Galena Biopharma Inc paid investor relations firm The DreamTeam Group to publish articles under aliases promoting the Company’s stock without disclosing who paid for them.
On February 14, 2014, Galena Biopharma Inc issued a letter to its shareholders denying most of the allegations while acknowledging that the Company had engaged The DreamTeam Group.
Shares of Galena Biopharma Inc declined from $7.48 per share on January 16, 2014 to $2.22 per share on March 28, 2014.
On April 7, 2014, NASDAQ:GALE shares closed at $2.26 per share.
Those who purchased shares of Galena Biopharma Inc (NASDAQ:GALE) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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