The Law Offices of Howard G. Smith Announces the Filing of a Securities Class Action on Behalf of XBiotech, Inc. Investors

BENSALEM, Pa.--()--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased XBiotech, Inc. (“XBiotech” or the “Company”) (Nasdaq: XBIT) securities between April 15, 2015 and November 23, 2015, inclusive (the “Class Period”). Investors who have suffered losses on their investment in XBiotech securities are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action.

On November 23, 2015, XBiotech issued a press release announcing that data related to one of its Phase III studies was compromised due to fewer numbers of per protocol patients available for primary endpoint evaluation. The Company found that (1) 25 patients dropped out of the study before receiving any dosing with drug or placebo, (2) 14 patients incorrectly received either placebo or study drug, and (3) 33 patients finished the study but failed to receive scheduled DEXA scans, properly complete EORTC evaluation, or both. In total, the combined irregularities compromised data from 72 patients in the study.

On this news, XBiotech shares fell more than 30% during intra-day trading on November 24, 2015.

According to the complaint, the Company made materially false and misleading statements to investors and/or failed to disclose that: (1) a fewer number of per protocol patients were available for primary endpoint evaluation in the Phase III Study; (2) the data from 72 patients of the Phase III Study was compromised; (3) XBiotech did not adequately sample patients to accommodate data loss; and (4) as a result of not properly sampling patients, the Phase III Study would have reduced statistical power to demonstrate the proposed outcome.

If you purchased shares of XBiotech during the Class Period you may move the Court no later than February 1, 2016 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at http://www.howardsmithlaw.com.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Contacts

Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com

Release Summary

The Law Offices of Howard G. Smith Announces the Filing of a Securities Class Action on Behalf of XBiotech, Inc. Investors

Contacts

Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com