SAN JOSE, Calif., April 19, 2018 (GLOBE NEWSWIRE) -- Pomerantz LLP announces that the United States District Court for the Northern District of California has approved the following announcement of a proposed class action settlement that would benefit purchasers of common stock of KaloBios Pharmaceuticals, Inc. (OTCMKTS:HGEN), formerly (OTC:KBIO):

SUMMARY NOTICE OF PENDENCY AND PROPOSED SETTLEMENT OF CLASS ACTION AND SETTLEMENT HEARING

TO:	ALL PERSONS AND ENTITIES THAT PURCHASED OR OTHERWISE ACQUIRED KALOBIOS PHARMACEUTICALS, INC. (“KALOBIOS”) COMMON STOCK (STOCK SYMBOL: KBIO) BETWEEN NOVEMBER 19, 2015 AND DECEMBER 16, 2015, INCLUSIVE (THE “SETTLEMENT CLASS PERIOD”).

YOU ARE HEREBY NOTIFIED, pursuant to Federal Rule of Civil Procedure 23 and an Order of the United States District Court for the Northern District of California, that a proposed settlement has been reached in this action.  A hearing will be held on August 2, 2018, at 9:00 a.m., before the Honorable Edward J. Davila, United States District Judge, at the courthouse for the United States District Court, Northern District of California Courtroom 4, Robert F. Peckham Federal Building, 280 South 1^st Street, San Jose, CA 95113.

The purpose of the hearing is to determine, among other things: (1) whether the proposed Settlement of the Class’ claims against the Settling Defendant Martin Shkreli, KaloBios Pharmaceuticals, Inc.’s (“KaloBios”) former Chief Executive Officer, for a total of consideration of one million five hundred thousand dollars ($1,500,000.00) should be approved as fair, reasonable and adequate; (2) whether the Plan of Allocation is fair and reasonable and should be approved; (3) whether the application by Lead Counsel for an award of attorneys’ fees and expenses should be approved; (4) whether Plaintiffs’ application for reimbursement of costs and expenses should be granted; (5) whether Plaintiffs’ request for a compensatory award should be granted; and (6) whether the Action should be dismissed with prejudice against the Settling Defendant as set forth in the Stipulation and Agreement of Settlement (the “Stipulation”) filed with the Court. 

Claims against former Defendants KaloBios, Ronald Martell, and Herb Cross were already resolved as part of a partial settlement (the “Partial Settlement”) for one million five hundred thousand dollars ($1,500,000.00) and three hundred thousand (300,000) shares in the reorganized, bankruptcy post-exit KaloBios.  Lead Counsel representing Plaintiffs and the Settlement Class is Matthew L. Tuccillo, Pomerantz LLP, 600 Third Avenue, 20^th Floor, New York, NY 10016, (212) 661-1100. 

If you purchased or otherwise acquired KaloBios common stock between November 19, 2015 and December 16, 2015, both dates inclusive (the “Settlement Class Period”), your rights may be affected by this Action and the Settlement thereof.  You may obtain the detailed Notice of Proposed Settlement of Class Action, Motion For Attorneys’ Fees and Expenses, and Settlement Fairness Hearing (the “Notice”) and the Proof of Claim and Release Form (“Proof of Claim”) free of charge by contacting the Settlement Administrator via the information set forth below.

If you previously submitted a valid and timely Proof of Claim in the Partial Settlement, you do not need to do so again.  Your prior valid and timely Proof of Claim will be used again.  If you are a member of the Settlement Class, have not already submitted a valid and timely Proof of Claim as part of the Partial Settlement, and wish to share in this Settlement proceeds, you must submit a Proof of Claim, postmarked no later than June 18, 2018, establishing that you are entitled to recovery.  As further described in the Notice, you will be bound by any Judgment entered in the Action, regardless of whether you submit a Proof of Claim, unless you exclude yourself from the Class, in accordance with the procedures set forth in the Notice, postmarked no later than July 12, 2018.  Any objections to the Settlement, Plan of Allocation or Lead Counsel’s application for attorneys’ fees and expenses must be filed and served, in accordance with the procedures set forth in the Notice, no later than July 12, 2018.

The Settlement Class excludes the Settling Defendant and immediate family; Released Parties; past and present KaloBios directors, officers, and employees; KaloBios subsidiaries and affiliates; Defendant Shkreli’s investor group who acquired 70% of KaloBios stock entering the Settlement Class Period, and others who acquired KaloBios stock and/or were appointed as KaloBios officers and directors in conjunction with Mr. Shkreli’s takeover of the company.  Additional details are listed in the Notice and the Stipulation, which can be obtained upon request.

Please direct inquiries, including requests for copies of the Notice, the Stipulation, and the Proof of Claim, to the Settlement Administrator: 

KaloBios Pharmaceuticals, Inc. Securities Litigation
c/o Strategic Claims Services
600 North Jackson Street, Suite 205
Media, PA  19063
Tel:  866-274-4004
Email:  info@strategicclaims.net
www.strategicclaims.net/kalobios

INQUIRIES SHOULD NOT BE DIRECTED TO THE COURT, THE
CLERK’S OFFICE, THE DEFENDANT, OR DEFENDANT’S COUNSEL

DATED:  APRIL 2, 2018

BY ORDER OF THE UNITED STATES  DISTRICT COURT FOR THE NORTHERN DISTRICT OF CALIFORNIA