Y-mAbs (YMAB) Investor Settlement
Y-mAbs Therapeutics has settled with $YMAB investors over claims related to the issues with FDA approval of its cancer drug.
Outline
In 2020, Y-mAbs was accused of misleading investors about the chances of FDA approval for their cancer drug, Omburtamab. The company publicly assured that it could resolve the FDA’s concerns. However, in October 2022 the FDA voted against the approval. Following this, $YMAB fell, and Y-mAbs faced a lawsuit from investors.
Timeline
On October 5, 2020: Y-mAbs announced that the FDA didn’t approve its cancer drug.
On March 31, 2022: Y-mAbs resubmitted the application for the drug.
On October 26, 2022: The FDA released a report highlighting issues with the effectiveness of the treatment.
On the same day, $YMAB fell 76.21%.
On October 28, 2022: The FDA committee voted against approving Omburtamab.
On January 18, 2023: Investors sued Y-mAbs for misleading about FDA approval.
Background
On October 5, 2020, the FDA denied Y-mAbs application for Omburtamab, a treatment for children with cancer.
The FDA said there wasn’t sufficient evidence to demonstrate the treatment's effectiveness. They also had concerns about the reliability and comparability of patient data used to support the application.
Despite Y-mAbs' public assurances of addressing these issues, they resubmitted the application on April 1, 2022, without fully resolving the FDA's concerns.
On October 26, 2022, the FDA released a report reiterating their concerns.
On the same day, $YMAB fell by 76%.
In 2023, shareholders filed a class action lawsuit against Y-mAbs, stating that the company misled them about the FDA approval process and the effectiveness of Omburtamab.
What can investors expect now?
Y-mAbs Therapeutics has reached an agreement with $YMAB investors who claimed the company misled them about FDA approval chances for the Omburtamab.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section below.
Frequently Asked Questions
No, if you have purchased securities within the class period, you are eligible to participate.
You can participate in the settlement and retain (or sell) your securities.
The entire process usually takes 4 to 9 months after the claim deadline. But the exact timing depends on the court and settlement administration.
11thestate is an investor recovery company, we help investors to track and collect securities class action settlements. We will:
Prepare documents for your payout
Audit the claim and make sure you get the maximum possible payout
File a claim with the settlement administration
Correspond with the settlement administration to resolve emerging issues
Deliver payout directly to your brokerage account
There is no upfront cost, but we will deduct 20% of the recovered amount as a commission for our services.