Zai Lab Limited (ZLAB)

Bronstein, Gewirtz & Grossman, LLC is investigating potential claims on behalf of purchasers of Zai Lab Limited  (“Zai Lab” or the “Company”) (NASDAQ: ZLAB). Investors who purchased Zai Lab securities are encouraged to obtain additional information and assist the investigation.                                  

The investigation concerns whether Zai Lab has violated federal securities laws.

On March 9, 2022, the U.S. Securities and Exchange Commission (“SEC”) published a notification identifying Zai Lab, among other companies, as in potential violation of the Holding Foreign Companies Accountable Act, which allows the SEC to delist companies and ban a company’s shares from being traded if the company fails to allow U.S. regulators to review their company audits for three straight years. Zai Lab and the other companies named in the SEC notification have until March 29, 2022 to challenge the charges against them. Following this news, Zai Lab’s stock dropped $6.74 per share, or 18%, to close at $30.02 on March 10, 2022.

Then, on June 6, 2023, Zai Lab reported phase 3 trials for an oncology theropy it is developing with NovoCure. It said that its tumor treating fields (TTFields) therapy, which uses skin patches to deliver electric fields to areas of the body, when used with standard therapies, met its primary endpoint of three-month improvement in median overall survival time in metastic non-small cell lung cancer (NSCLC) patients. Further, the company reported that patients with the TTFields therapy has a median overall survival time of 13.2 months compared to 9.9 months with patients who just had standard therapies. However, many of the study participants didn’t use an initial checkpoint inhibitor, which is seen as the leading way to treat NSCLC, thereby allowing for the possibility that the study was highly skewed by comparing TTFields to a lesser therapy. Following this news, Zai Lab’s stock dropped $4.88 per share, or 14.55%, to close at $28.66 on June 7, 2023.

If you are aware of any facts relating to this investigation or purchased Zai Lab shares, you can assist this investigation. You can also contact Peretz Bronstein or his law clerk and client relations manager, Yael Nathanson of Bronstein, Gewirtz & Grossman, LLC: 212-697-6484. 

Bronstein, Gewirtz & Grossman, LLC represents investors in securities fraud class actions and shareholder derivative suits.  The firm has recovered hundreds of millions of dollars for investors nationwide.  Attorney advertising. Prior results do not guarantee similar outcomes.