ImmunityBio Hit With Securities Lawsuit After FDA Flags Misleading Cancer Claims; Shares Plunged 21%
IBRX has more than doubled off its 52-week low of $1.95.
Summary
ImmunityBio is facing a securities class action lawsuit alleging misleading claims about its lead product, Anktiva. The lawsuit, filed by Hagens Berman, centers on statements made by the company's executive chairman suggesting Anktiva could treat 'all cancers' beyond its FDA-approved use for bladder cancer. This follows an FDA warning letter issued on March 24, 2026, which deemed the company's promotional materials 'false or misleading' and unsupported by data, causing shares to plunge 21% and erase $2 billion in market cap. This legal action introduces significant financial and reputational risk for ImmunityBio, potentially impacting its core product and investor confidence, despite recent positive news on financing and patents. The lead plaintiff deadline for the lawsuit is May 26, 2026.
At the time of this announcement, IBRX was trading at $7.95 on NASDAQ in the Life Sciences sector, with a market capitalization of approximately $8.4B. The 52-week trading range was $1.95 to $12.43. This news item was assessed with negative market sentiment and an importance score of 9 out of 10. Source: PR Newswire.