BALA CYNWYD, Pa., July 2, 2004 – LAWFUEL – The following statement was
issued today by the law firm of Schiffrin & Barroway, LLP:
Notice is hereby given that a class action lawsuit was filed in the United
States District Court for the Northern District of California on behalf of all
purchasers of the common stock of IntraBiotics Pharmaceuticals, Inc.
(Nasdaq: IBPI) (“IntraBiotics” or the “Company”) from September 5, 2003
through June 22, 2004, inclusive (the “Class Period”).
If you wish to discuss this action or have any questions concerning this
notice or your rights or interests with respect to these matters, please
contact Schiffrin & Barroway, LLP (Marc A. Topaz, Esq. or Stuart L. Berman,
Esq.) toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at
info@sbclasslaw.com.
The complaint charges IntraBiotics, Henry J. Fuchs, Detlef Albrecht, and
David J. Tucker with violations of the Securities and Exchange Act of 1934 and
Rule 10b-5 promulgated thereunder. More specifically, the Complaint alleges
that the Company failed to disclose and misrepresented the following material
adverse facts concerning the Company’s wonder drug, iseganan, which were known
to defendants or recklessly disregarded by them: (1) that iseganan was not
safe and well-tolerated at therapeutically relevant doses when administered to
the oral cavity; (2) that the drug caused a higher rate of ventilator-
associated pneumonia (“VAP”) and mortality as compared to placebo; (3) that
despite knowing and/or recklessly disregarding the aforementioned facts, the
defendants nevertheless raised capital through offerings of its common stock
in order to portray to the market that iseganan was a viable marketable
product that was on the “fast track” to FDA approval; and (4) that as a result
of the above, the defendants statements concerning iseganan were lacking in
any reasonable basis.
On June 23, 2004, the Company announced that an independent data
monitoring committee recommended to the Company that it discontinue its
pivotal trial of iseganan for the prevention of VAP based on an interim
analysis of the data. News of this shocked the market. Shares of
IntraBiotics fell $9.45 per share or 69 percent, to close at $4.23 per share
on unusually high trading volume.
Plaintiff seeks to recover damages on behalf of class members and is
represented by the law firm of Schiffrin & Barroway, which prosecutes class
actions in both state and federal courts throughout the country. Schiffrin &
Barroway is a driving force behind corporate governance reform, and has
recovered in excess of a billion dollars on behalf of institutional and high
net worth individual investors. For more information about Schiffrin &
Barroway, or to sign up to participate in this action online, please visit
http://www.sbclasslaw.com.
If you are a member of the class described above, you may, not later than
August 31, 2004 move the Court to serve as lead plaintiff of the class, if you
so choose. A lead plaintiff is a representative party that acts on behalf of
other class members in directing the litigation. In order to be appointed
lead plaintiff, the Court must determine that the class member’s claim is
typical of the claims of other class members, and that the class member will
adequately represent the class. Under certain circumstances, one or more
class members may together serve as “lead plaintiff.” Your ability to share
in any recovery is not, however, affected by the decision whether or not to
serve as a lead plaintiff. You may retain Schiffrin & Barroway, or other
counsel of your choice, to serve as your counsel in this action.
