ImmunityBio Plunges After Getting FDA Warning on Cancer Drug (1)

ImmunityBio Inc.’s shares plunged after the biotechnology company and its billionaire executive chairman, Patrick Soon-Shiong, were hit with a Food and Drug Administration warning letter for false and misleading promotion of its bladder cancer drug Anktiva.

The warning letter takes issue with both a TV ad for the drug, which is currently approved for a specific type of bladder cancer, and a January episode of The Sean Spicer Show where Soon-Shiong said it could treat “all cancers.”

ImmunityBio shares plunged as much as 30% on Tuesday, the biggest intraday decline in 15 months.

The company takes the ...