ADMA Biologics Inc. (NASDAQ:ADMA) shares are up during Friday’s premarket session. Since Wednesday, the company’s stock has fallen by around 30% after a short seller report.

The report from Culper Research, released on Tuesday, alleges that ADMA Biologics has been misrepresenting its financial results and operating metrics.

The firm disclosed that it holds a short position in ADMA, which adds a layer of skepticism to its claims.

Company Pushes Back On Allegations

In response, ADMA Biologics emphasized its commitment to transparency and adherence to U.S. Securities and Exchange Commission regulations, stating that the assertions made in the report are based on unreliable sources.

On Friday, the company issued a statement refuting unsubstantiated allegations made by a short seller.

ADMA Biologics Defends

This response highlights the growing demand for its ASCENIV product, which is crucial for immunocompromised patients.

ADMA’s statement emphasized that the characterization of ASCENIV’s competitive position reflects a misunderstanding of its business model and role as a late-line therapy.

The company noted that demand for ASCENIV has steadily increased over the past two years, reaching record levels, and that inventory levels maintained by distributors align with industry standards.

Additional Data Aimed At Countering Claims

Furthermore, ADMA provided additional details about its immune globulin product portfolio, including inventory days on hand and end-user demand data, which it believes counters the misleading claims made in the short report.

The company also reiterated important safety information regarding ASCENIV and BIVIGAM, underscoring its commitment to patient safety and product efficacy.

ASCENIV (immune globulin intravenous, human – slra 10% liquid) is a plasma-derived, polyclonal, intravenous immune globulin (IVIG).

The FDA approved ASCENIV in April 2019 for primary humoral immunodeficiency (PI), also known as primary immune deficiency disease (PIDD), in adults and adolescents (12 to 17 years of age).

ADMA Price Action: ADMA Biologics shares were up 12.06% at $9.28 at the time of publication on Friday, according to Benzinga Pro data.

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