#United States #New York #Pomerantz LLP #Capricor Therapeutics #FDA Review

Pomerantz Law Firm Probes Capricor Therapeutics for Potential Investor Fraud

Pomerantz LLP, a well-respected law firm featuring a history spanning over 85 years in corporate and securities litigation, has announced that it is examining claims on behalf of investors in Capricor Therapeutics, Inc. (NASDAQ: CAPR). The investigation aims to determine whether Capricor and certain officials within the company have engaged in securities fraud or other illegal business practices that may have compromised the investments of shareholders.

Background of the Inquiry

The scrutiny represents a critical response to recent events surrounding Capricor's development efforts regarding its investigational cell therapy, deramiocel, which is aimed at treating patients with Duchenne muscular dystrophy (DMD) cardiomyopathy. Investors were particularly alarmed following a press release from Capricor dated May 5, 2025. In this statement, the company announced it completed a mid-cycle review with the U.S. Food and Drug Administration (FDA) concerning its Biologics License Application (BLA) for deramiocel. The FDA reportedly confirmed its intent to convene an advisory committee meeting to provide further insights related to the application.

However, different narratives started emerging shortly thereafter, substantially impacting the company's stock price. Just one day after the May 5 announcement, Capricor’s stock plummeted by $3.00 or approximately 29.13%, closing at $7.30 per share.

The Cancelled Advisory Meeting

On June 20, 2025, the situation worsened. The publication STAT reported that the FDA had canceled the planned advisory committee meeting for deramiocel due to ongoing concerns regarding the drug's efficacy and safety. This abrupt change of events caused Capricor's stock to drop significantly once again, this time by $3.68 or about 30.82%, leading to a closing price of $8.26 per share. Such dramatic stock fluctuations have sparked apprehensive sentiments among investors, triggering Pomerantz LLP's investigation.

Implications for Investors

For investors of Capricor, these developments represent a dual-edged sword. On one hand, they suggest potential mismanagement or, even worse, fraudulent activities within the company; on the other, they spotlight the precarious nature of investing in pharmaceutical advancements that hinge upon regulatory approvals. Investors who may have suffered financial loss as a result of these stock declines and the surrounding fraudulent activities are urged to contact Danielle Peyton of Pomerantz LLP at [email protected] or via phone at 646-581-9980, ext. 7980 for further guidance.

Pomerantz's Legacy in Securities Litigation

Pomerantz LLP, founded by the late Abraham L. Pomerantz—often referred to as the “dean of the class action bar”—is noted for establishing significant precedents in securities fraud cases. The firm maintains its commitment to defending the rights of investors affected by breaches of fiduciary duty and corporate misconduct. They have successfully secured substantial damages for their clients in multiple cases over the years.

With the current environment for Capricor Therapeutics showing increasing vulnerability, the upcoming weeks may prove pivotal for both the company and its investors, particularly as further details surrounding these allegations unfold. Investors looking to protect their interests in the stock and seeking accountability may want to closely monitor the developments in the unfolding investigation by Pomerantz LLP.