NEW YORK, May 1, 2015 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a federal securities class action has been filed in the United States District Court for the Northern District of California against Cellular Biomedicine Group, Inc. (“CBMG” or the “Company”) (Nasdaq:CBMG). The class period is between May 5, 2014 and April 7, 2015, inclusive (the “Class Period”). Wolf Haldenstein encourages all shareholders who suffered losses on securities purchased within the Class Period to contact us immediately at classmember@whafh.com or (800) 575-0735.
Cellular Biomedicine Group, Inc. is a biomedicine company that develops treatments for cancerous and degenerative diseases in Greater China. It focuses on developing and marketing cell-based therapies to treat serious chronic and degenerative diseases, such as cancer, osteoarthritis, tissue damage, various inflammatory diseases, and metabolic diseases.
The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company achieved an unsustainable $500 million valuation by using paid stock promoters, yet failed to disclose the use of such promoters in its regulatory filings pursuant to Section 17(b) of the Securities Act of 1933; (ii) the Company’s “Car-T” technology had experienced patient deaths and lacked any meaningful valuation; and (iv) as a result of the above, the Company’s financial statements were materially false and misleading at all relevant times.
On April 7, 2015, a report was published on the blog, SeekingAlpha.com, alleging that the Company was engaged in a massive fraudulent scheme to mislead investors and that the Company lacked any meaningful financial value. On this news, CBMG declined $7.00 per share, or over 21.7%, to close at $25.22 per share on April 7, 2015.
If you purchased CMBG securities during the Class Period, you may, no later than June 22, 2015, request that the Court appoint you lead plaintiff of the proposed class. A lead plaintiff is a representative party that acts on behalf of all class members in directing the litigation. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has over 70 attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein Adler Freeman & Herz LLP by telephone at (800) 575-0735, via e-mail at classmember@whafh.com, or visit our website at www.whafh.com. All e-mail correspondence should make reference to the “CBMG Investigation.”
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