Ampio Pharmaceuticals, Inc.

On August 9, 2023, United States District Judge William J. Martinez of the District of Colorado appointed Faruqi & Faruqi, LLP, as lead counsel in Christopher Kain v. Ampio Pharmaceuticals, Inc., et. al., 22-cv-2105-WJM-MEH. The suit centers on false and misleading statements made by Ampio Pharmaceuticals, Inc., and Individual Defendants related to its lead product candidate, Ampion.

Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) inflated the Company’s true ability to successfully file a Biologics License Application (BLA) for Ampio; (ii) inflated the results of the AP-013 study of Ampion (the Company’s lead product with “unique immunomodulatory action and anti-inflammatory effects” used to treat individuals with inflammatory conditions including, but not limited to, severe osteoarthritis of the knee (OAK)) and the timing of unblinding the data from the AP-013 study; and (iii) that, as a result, of the foregoing, defendants’ statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis. When the true details entered the market, the lawsuit claims that investors suffered damages.

Beginning in 2010 and lasting through approximately March 2022, Ampio conducted numerous clinical trials and analyses to determine Ampion's efficacy. Despite confidently advertising on numerous occasions that Ampion demonstrated a statistically significant decrease in pain associated in symptomatic moderate-severe OAK, the Company failed to bring Ampion to market. 

After months of delay and analyst speculation of the effectiveness of Ampion, on May 16, 2022, the Company announced that it had formed a special committee of the Ampio Board of Directors (the "Board") was conducting internal investigations focusing specifically on the statistical analysis of Ampio's AP-013 clinical trial and unauthorized provision of Ampion which had not yet been approved by the U.S. Food and Drug Administration ("FDA") 

Then, in premarket hours on August 3, 2022, Ampio issued a press release containing a letter to stockholders revealing that the Individual Defendants (as defined herein) "and senior staff were aware, at the time of the per-protocol interim analysis in March 2020, that the AP-013 trial did not demonstrate efficacy for Ampion on its co-primary endpoints of pain and function; and that these persons did not fully report the results of the AP-013 trial and the timing of unblinding of data from the AP-013 trial." 

On this news, the Company's share price dropped $0.06, or 35.38%, from the previous day's close, on greater than usual trading volume

The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.