Stock Markets March 24, 2026

ImmunityBio Shares Drop After FDA Warns Over Misleading ANKTIVA Promotions

Regulator flags TV ad and podcast for overstating the bladder cancer drug’s benefits; company given 15 working days to respond

By Derek Hwang IBRX
ImmunityBio Shares Drop After FDA Warns Over Misleading ANKTIVA Promotions
IBRX

ImmunityBio Inc. (NASDAQ:IBRX) saw its stock fall sharply after the U.S. Food and Drug Administration issued a warning letter alleging that promotional materials for ANKTIVA exaggerated the drug’s effectiveness and failed to present required risk information. The FDA identified multiple unsupported claims in a television advertisement and a podcast featuring company executives and noted procedural lapses on required submissions.

Key Points

  • ImmunityBio shares declined about 15% after the FDA issued a warning letter over promotional materials for ANKTIVA.
  • The FDA found that a television ad and a podcast made unsupported claims that ANKTIVA could cure or prevent all cancers and mischaracterized its administration.
  • ANKTIVA is approved only for BCG-unresponsive nonmuscle invasive bladder cancer with carcinoma in situ, with or without papillary tumors, and must be administered intravesically.

Shares of ImmunityBio Inc. (NASDAQ:IBRX) tumbled 15% on Tuesday following the arrival of a warning letter from the U.S. Food and Drug Administration concerning promotional content for the company’s bladder cancer therapy ANKTIVA.

In its review, the FDA’s Office of Prescription Drug Promotion determined that a television advertisement and a podcast that included comments from company executives made claims about ANKTIVA that were false or misleading. Regulators said the materials implied the therapy could cure and prevent all cancers, assertions the agency said are not supported by clinical evidence and exceed the drug’s approved uses.

ANKTIVA holds approval for a specific, narrow indication: treatment of adult patients with BCG-unresponsive nonmuscle invasive bladder cancer who have carcinoma in situ, with or without papillary tumors. The FDA also reiterated that ANKTIVA must be delivered intravesically, meaning it is administered directly into the bladder.

The warning letter named several problematic statements attributed to company leaders, including the suggestion that ANKTIVA could "treat all cancers," could prevent cancer in individuals exposed to radiation, and could be effective as a single injection. The FDA concluded that these representations were unsupported by the available clinical data.

Regulators further identified shortcomings in how risk information was presented in the promotional pieces and said material facts about the drug’s approved indication were omitted. The agency noted a procedural violation as well: the podcast in question was not submitted at the time of initial publication as required by applicable regulations.

This notice marks the third time the FDA has communicated concerns about similar promotional issues to the company or its affiliates. The agency previously issued untitled letters in September 2025 and January 2026 to ImmunityBio’s subsidiary, Altor BioScience.

Under the timeline set out in the warning letter, ImmunityBio has 15 working days to submit a response describing corrective steps it will take to address the violations and to outline plans for corrective communications targeting audiences who received the misleading materials.


The FDA action highlights regulatory scrutiny of promotional practices and underscores the requirement that public communications for prescription medicines stay strictly within the bounds of approved indications and supporting data. The company will need to decide how to respond within the regulatory window and how to communicate corrections to affected audiences.

Risks

  • Regulatory enforcement risk: The FDA identified multiple promotional violations and has given ImmunityBio 15 working days to respond, raising the prospect of mandated corrective communications.
  • Market and reputational risk: The stock’s immediate 15% decline reflects investor reaction to the warning and potential reputational damage tied to promotional claims.
  • Repeat compliance uncertainty: This is the third FDA communication on similar issues, indicating an ongoing compliance challenge for the company and its subsidiary, which could affect investor confidence and commercial activities.

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