Faruqi & Faruqi, LLP’s national practice focuses on complex civil litigation. The firm practices in the areas of Securities, Merger & Transactional, Shareholder Derivative, Antitrust, Consumer Class Action, and Wage & Hour litigation.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to properly represent the market demand and profitably sales of its flagship insulin inhalant, Afrezza.
Specifically, on January 5, 2016, MannKind announced the termination of its license and collaboration agreement with pharmaceutical distributor Sanofi-Aventis. That same day, Bloomberg reported that the agreement was terminated due to a low level of prescriptions despite Sanofi's best efforts.
After the announcement, MannKind’s share price fell from $1.45 per share on January 4, 2016 to a closing price of $0.75 on January 5, 2016 —a $0.70 or a 48.3% drop.