SAN FRANCISCO, Aug. 25, 2014 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP, a top-tier investor-rights law firm, advises investors of the Sept. 29, 2014, lead plaintiff deadline in the securities fraud class action against Galectin Therapeutics Inc. (Nasdaq:GALT) ("Galectin" or "the Company"). Investors who purchased Galectin shares between January 6, 2014 and July 28, 2014 (the "Class Period") should contact Hagens Berman Partner Reed Kathrein, who is leading the firm's investigation, by calling 510-725-3000, emailing GALT@hbsslaw.com or visiting http://hb-securities.com/investigations/GALT.
The complaint, filed in Nevada District Court on July 30, 2014, and docketed under 3:14-cv-00399-RCJ-WGC, alleges that the Company engaged in a protracted effort to increase its share price, and may have partnered with a known stock promoter, TDM Financial, to undertake promotional campaigns to entice investors to buy its stock. These promotions centered on statements that Galectin was progressing toward a successful Phase 1 trial on its experimental liver drug GR-MD-02. Meanwhile, as the share price rose, Galectin executives allegedly capitalized on the rising share price to profit from insider trades. However, on July 29, 2014, the truth was revealed when Galectin reported that the Phase 1 results showed little difference between GR-MD-02 and a placebo. On this news, shares of Galectin Therapeutics fell precipitously by $8.84, or 60.08%, to close at $5.70.
"Allegations that a company deliberately inflated their share price to benefit insiders at the expense of shareholders must be investigated as quickly and as thoroughly as possible. This is exactly the type of corporate fraud that our laws were designed to prevent," said Mr. Kathrein.
If you have suffered a loss from your investment in Galectin Therapeutics, purchased on or after January 6, 2014, and would like to learn more about this lawsuit and your ability to participate as a lead plaintiff, please contact us for your no-cost evaluation. No class has yet been certified in the above action. Members of the Class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff.
Hagens Berman Sobol Shapiro LLP is an investor-rights class-action law firm with offices in nine cities. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes can be found at www.hbsslaw.com. Read the firm's Securities Newsletter at http://www.hb-securities.com/newsletter. The firm's blog is located at www.meaningfuldisclosure.com.
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