Feb. 25, 2013 (Shareholders Foundation) -- Following a substantial stock drop caused by a recall of Affymax OMONTYS an investigation on behalf of investors of Affymax, Inc. (NASDAQ:AFFY) shares was announced concerning whether Affymax, Inc. potentially violated securities laws violations in connection certain financial statements.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Affymax, Inc. (NASDAQ:AFFY) concerning whether a series of statements by Affymax, Inc. regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

Shares of Affymax, Inc. (NASDAQ:AFFY) grew from slightly above $7 in January 2012 to as high as $26.75 per share in October. 2012.

Then on February 23, 2013, Affymax and Takeda announce a nationwide recall of all Lots of OMONTYS (peginesatide) Injection.

Affymax, Inc said the recall a result of new postmarketing reports regarding serious hypersensitivity reactions, including anaphylaxis, which can be life-threatening or fatal. Affymax, Inc said that to date, fatal reactions have been reported in approximately 0.02% of patients following the first dose of intravenous administration and that the reported serious hypersensitivity reactions have occurred within 30 minutes after such administration of OMONTYS.

The U.S. Food and Drug Administration said it has been notified of 19 reports of anaphylaxis from dialysis centers in the United States. Three of the anaphylaxis cases resulted in death and other patients required prompt medical intervention and in some cases hospitalization. Some of the reports included patients who were able to be resuscitated by doctors. However, anaphylaxis is life-threatening and resuscitation efforts are not always successful.

Shares of Affymax, Inc. (NASDAQ:AFFY) dropped from $16.53 per share on February 22, 2013, to as low as $2.34 per share on February 25, 2013.