Invested in
Fate Therapeutics?
Attention Fate Therapeutics shareholders: contact investor rights lawyers for a free evaluation of your potential claims for compensation today.
- Did you acquire shares of Fate Therapeutics (NASDAQ: FATE) on or before April 2020, and do you still hold your Fate Therapeutics shares?
- Are you concerned about the recent performance of Fate Therapeutics’s stock price?
- Are you concerned about the conduct of Fate Therapeutics’s officers and directors related to Fate’s alleged materially false and misleading statements regarding its business, operations, and prospects following the termination of Janssen Biotech collaboration agreement?
- Would you like your potential options for compensation and/or redress to be reviewed by an experienced team of investor lawyers?
Request a free case evaluation of your potential claims for compensation today, via email at arosca@rscounsel.law, through the contact form on this page, or by calling 888-998-0530.
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Posted November 21, 2023
Fate Therapeutics Class Action Investigation
Securities attorneys Alan Rosca, Paul Scarlato, and Kathryn Weidner have been investigating potential securities violations and corporate misconduct, as well as any breach of fiduciary duty the board of directors of Fate Therapeutics owed to the investors and have identified potential areas of concern for Fate Therapeutics investors.
What Fate Therapeutics Investors May Do
FATE investors interested in an evaluation of their potential options to seek compensation and/or pursue claims related to their Fate Therapeutics investment may contact investor rights attorneys Alan Rosca, Paul Scarlato, or Kathryn Weidner. Claims that are not timely pursued may expire or otherwise be lost, generally speaking.
Get in Touch with an Experienced Team of Investor Attorneys
Attorneys Rosca, Scarlato, and Weidner have extensive experience in seeking compensation related to investor harm and pursuing claims arising out of alleged violations of securities law and/or corporate misconduct and are currently evaluating potential claims on behalf of investors in Fate Therapeutics.
They typically work on a contingent fee basis, do not require any money down from their clients, advance case expenses, and only get paid for their fees and expenses if and when successful, following review and approval by the Court of any fee application.
Concerned FATE stock investors may contact attorneys Alan Rosca, Paul Scarlato, or Kathryn Weidner to discuss their potential options toll free at 888-998-0530, via email at arosca@rscounsel.law, or through the contact form on this webpage.
Potential Compensation Claims
Has Fate Therapeutics Been Accused of Misconduct?
Fate Therapeutics, J. Scott Wolchko (“CEO”) and Edward J. Dulac III (“CFO”) have been the subject of a securities class action lawsuit, filed in the United States District Court for the Southern District of California in June 2023. In late July 2023, a consolidated complaint was filed in the same case which added Bahram Valamehr, Fate’s Chief Research and Development Officer as defendant. The case is pending as of the date of this blog.
Fate Therapeutics and its senior officers are accused of, among others, allegedly making false and/or misleading statements in connection with the risks surrounding the collaboration agreement with Janssen Biotech, Inc. (“collaboration agreement”).
In April 2020, Fate Therapeutics allegedly entered into collaboration agreement with Janssen, the Pharmaceutical Companies of Johnson & Johnson. Under the terms of the agreement, Fate was reportedly eligible to receive substantial financial rewards, up to $3 billion in total, upon achieving development and commercial milestones, and regulatory approvals for product candidates, the complaint alleges. The complaint further alleged that potential revenue from this collaboration was perceived as substantial, given Fate‘s modest revenue of $10.1 million in 2019. Following the announcement, the FATE stock price reportedly increased 8.8% on April 3, 2020, the complaint alleges.
After multiple positive assurances to investors, on January 5, 2023, Fate reportedly announced the termination of the collaboration agreement indicating that the company was unable “to align with Janssen on their proposal for continuation of our collaboration.” Fate further disclosed that it is laying off approximately 220 employees and discontinuing clinical development of several cell programs.
Following the news, the price per FATE share declined over 60% to close at $4.24 on January 6, 2023, the complaint alleges.
According to the class action complaint, Fate and its officers allegedly misrepresented the sustainability of the Janssen Collaboration Agreement, leading to uncertainties in future revenue from clinical programs, milestone payments, and royalty payments. Furthermore, the impact of the collaboration agreement on Fate‘s long-term clinical and commercial profitability was purportedly overstated, rendering the company’s public statements materially false and misleading throughout the relevant period.
Potential Compensation Claims
Do Fate Therapeutics Shareholders Have Claims for Compensation?
Investor rights attorneys Alan Rosca, Paul Scarlato, and Kathryn Weidner at Rosca Scarlato are investigating potential options and evaluating potential claims for compensation and/or other redress on behalf of Fate Therapeutics, Inc. shareholders whose share value dropped following the alleged false and/or misleading statements related to Fate’s collaboration agreement with Janssen, amongst others. The Rosca Scarlato attorneys have decades of combined experience representing victims of corporate or financial misconduct.
If you are a Fate Therapeutics investor who has acquired FATE shares before April 2020, are concerned about the drop in the value of your investment, you may contact attorneys Alan Rosca, Paul Scarlato, or Kathryn Weidner to learn more about your rights and for an evaluation of your potential claims, or to provide useful information.
All consultations are free. The Rosca Scarlato attorneys typically take cases like this on a contingency fee basis, advance all case costs, and only get paid for their fees and expenses if and when they are successful, following review and approval by the Court of any fee application.
To reach attorney Alan Rosca or his colleagues, Fate Therapeutics investors may call 888-998-0530, email arosca@rscounsel.law, or leave a message through the contact form on this webpage.
The general considerations on this page are for informational purposes only and do not constitute legal advice. Such legal advice can only be offered once the attorneys discuss each investor’s situation, learn of the relevant facts and can tailor any advice to that investor’s facts. The Fate Therapeutics Class Action Investigation page is not affiliated with Fate Therapeutics. There has not been an adjudication on the merits of any allegations referenced in this blog post, as of the date of the posting.
Contact info:
Rosca Scarlato LLC – 216-946-7070 / 888-998-0530.
Alan Rosca – arosca@rscounsel.law
Paul Scarlato – pscarlato@rscounsel.law
Kathryn Weidner – kweidner@rscounsel.law
Recent Investigations
DISCLAIMER
In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow matters about which we report, and/or to publish subsequent updates regarding various developments that may occur in such matters. Readers are encouraged to conduct their own research regarding any such matters and any developments that may or may not have occurred in such matters. Also, the Brokercheck report linked to some of our blogs is the up-to-date version as of the date of accessing by the reader. The information in our blogs is current as of the date of the drafting of the blog, and given that sometimes certain past complaints may no longer be listed in newer Brokercheck reports, some of the events referenced in some of our blogs may later on be removed from newer Brokercheck reports. Visitors may check the most recent version of each brokercheck report at www.finra.org, and may contact FINRA for the earlier version of the Brokercheck report upon which various blogs may be based.
