Provectus Biopharmaceuticals, Inc.
A class action lawsuit has been filed in the United States District Court for the Middle District of Tennessee on behalf of purchasers of Provectus Biopharmaceuticals, Inc. (“Provectus”) (PVCT) publicly traded securities during the period between December 17, 2013 and May 22, 2014 (the “Class Period”).
The complaint charges Provectus and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Provectus, formerly Provectus Pharmaceuticals, Inc., is a development-stage pharmaceutical company that is engaged in developing pharmaceuticals for oncology and dermatology indications, including PV-10, which is intended for the treatment of several life threatening cancers, including metastatic melanoma, liver cancer, and breast cancer.
The complaint alleges that throughout the Class Period, defendants violated the federal securities laws by disseminating false and misleading statements to the investing public regarding the prospects for PV-10. As a result of defendants’ false statements, Provectus stock traded at artificially inflated prices during the Class Period, reaching a high of $5.22 per share on January 22, 2014.
On January 23, 2014, Adam Feuerstein published an article on TheStreet.com alleging that Provectus management had misled investors about the prospects for PV-10, questioning why Provectus had not yet started its promised Phase 3 randomized controlled trial of PV-10 and speculating that PV-10 may be obsolete in light of new skin cancer drugs being developed. On this news, Provectus’s stock price fell $3.35 per share to close at $1.87 per share on January 23, 2014, a decline of nearly 64% on volume of 30.5 million shares. On May 20, 2014, Feuerstein noted in an article published on TheStreet.com that on its website, Provectus had initially described its PV-10 drug as a “breakthrough” drug for skin cancer, but had later amended its description to “investigational.” Subsequently, on May 21, 2014, an investment community blog on SeekingAlpha.com highlighted the failure of Provectus to commence a Phase 3 trial of PV-10 and alleged that the Company was tied to a stock promotion firm whose other stock recommendations had recently had trading in their stock halted by the SEC. On the same day, Provectus issued a press release refuting inaccuracies in the blog on SeekingAlpha.com. On this news, Provectus’s stock price dropped $0.22 per share to close at $2.02 per share on May 22, 2014, a one-day decline of nearly 10%, and on May 23, 2014, trading in Provectus stock was halted at $2.02 per share.
If you are a current shareholder and/or purchased stock between December 17, 2013 and May 22, 2014 and would like to discuss your options of exercising your rights as a shareholder, please contact us.
Please submit the following information so we can determine if you qualify for the suit. If you don't know all the specific details, partial information is also acceptable.