June 21, 2013 (Shareholders Foundation) - An investigation on behalf of investors of Vanda Pharmaceuticals Inc. (NASDAQ:VNDA) shares over potential securities laws violations by Vanda Pharmaceuticals Inc. and certain of its directors and officers in connection certain financial statements was announced.
The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Vanda Pharmaceuticals Inc. (NASDAQ:VNDA) concerning whether a series of statements by Vanda Pharmaceuticals regarding its business, its prospects and its operations were materially false and misleading at the time they were made.
Vanda Pharmaceuticals Inc. reported that its annual Total Revenue rose from $31.27 million in 2011 to $32.73 million in 2012 and that its respective Net Loss increased from $9.80 million to $27.66 million.
Vanda Pharmaceuticals Inc. (NASDAQ:VNDA) grew from $3.80 in early 2013 to as high as $13.25 per share on June 12, 2013.
Then on June 13, 2013, an article was published that alleged that the design of Vanda Pharmaceuticals primary phase III study changed numerous times, including a complete replacement of the primary endpoint just one month before study results were announced.
The article also alleged that during the tasimelteon clinical trials, Vanda Pharmaceuticals cut half the patient enrollment because the blind patients with non-24 could not be identified.
Shares of Vanda Pharmaceuticals Inc. declined from over $13 per share on June 12, 2013 to as low as $8.47 per share on June 19, 2013.
On June 21, 2013, NASDAQ:VNDA shares closed at $8.27 per share.