CytomX Therapeutics, Inc. (CTMX) Accused of Misleading Shareholders
CytomX has been evaluating CX-072 and CX-2009 in its “PROCLAIM” series clinical program to determine their tolerability and preliminary antitumor activity as monotherapies. On May 17, 2018, CytomX issued a press release announcing the preliminary clinical results of CX-072 from the PROCLAIM program, touting that “he preliminary data in these abstracts are encouraging as observ initial signs of antitumor activity for CX-072.” As the relevant period progressed, CytomX continued to tout CX-072 as a cancer therapy and CX-2009’s tolerability while downplaying issues with both drugs’ efficacy and safety. On May 13, 2020, CytomX made abstracts available from its clinical presentations for CX-072 and CX-2009, revealing disappointing results. The program demonstrated a response rate of 8.8% for CX-072 compared to 18.5% when in combination with another drug, and with regard to CX-2009, suggested a significantly higher rate of serious or greater treatment-related toxicity to the eyes at doses at least 8mg/kg 3x/week. On this news, CytomX’s stock declined 36%, closing at $9.23 per share. The stock continues to decline.
