FibroGen Officers and Directors Under Investigation for False Statements and Insider Trading
Schubert Jonckheer & Kolbe LLP is investigating potential derivative claims on behalf of shareholders of FibroGen, Inc. (NASDAQ: FGEN) relating to possible false statements to investors and insider trading by officers and directors.
On April 6, 2021, FibroGen announced a clarification of certain prior disclosures related to roxadustat, a new drug for the treatment of anemia of chronic kidney disease. Specifically, the company disclosed that the drug’s Phase 3 safety analyses, which were first published in November 2019, included “post-hoc changes to the stratification factors” which gave investors a misleading impression of roxadustat’s cardiovascular safety profile. FibroGen further announced that based on analyses using “pre-specified” stratification factors, the company could no longer support certain key conclusions about the drug. FibroGen’s April 6 disclosure caused a sharp drop in the company’s stock price, wiping out more than $1.3 billion of shareholder value.
Between November 2019 and April 2021, several FibroGen officers and directors sold nearly $11.5 million of company stock while outside investors remained unaware of the differing stratification factors.
The Schubert Firm is investigating potential breaches of fiduciary duty by the company’s directors and officers in connection with these allegations.
If you currently own stock in FibroGen and wish to obtain additional information—or would like to participate in a potential shareholder derivative action—please complete the form below for a free legal consultation.
