Goodwin litigators recently won dismissal of a securities class action lawsuit filed against a group of seven investment banks that served as the underwriters of a $310 million secondary public offering by ARIAD Pharmaceuticals, Inc. (“ARIAD”) in January 2013.
In their complaint, plaintiffs alleged that the January 2013 secondary offering materials violated the Securities Act of 1933 by allegedly making misstatements regarding the safety and efficacy of ARIAD’s flagship product Iclusig, a drug for the treatment of chronic myeloid leukemia. Plaintiffs principally claimed that the offering materials should have disclosed an allegedly increasing incidence of adverse cardiovascular events in clinical trials of Iclusig. On March 24, 2015, the United States District Court for the District of Massachusetts issued a comprehensive written decision in which the Court agreed with the Goodwin team that plaintiffs had failed to allege sufficient facts showing that the Underwriters had made any false or misleading statements, dismissing all claims asserted against the Underwriters with prejudice.
The Goodwin team was led by Brian Pastuszenski, co-chair of Goodwin Procter’s Securities Litigation and SEC Enforcement Practice, and included Mark Holland, Brian Devine, William Brady and Nick Reider.