Cohen, Milstein, Hausfeld & Toll, P.L.L.C. Files Securities Fraud Class Action on Behalf of Investors Who Purchased Transkaryotic Therapies, Inc. Securities.

Business Editors/Legal Writers

WASHINGTON--(BUSINESS WIRE)--Jan. 27, 2003

Please take notice that Cohen, Milstein, Hausfeld & Toll, P.L.L.C. (www.cmht.com) filed a securities fraud class action lawsuit in the U.S. District Court for the District of Massachusetts, on behalf of persons who purchased or otherwise acquired the securities of Transkaryotic Therapies, Inc. (Nasdaq:TKTX) during the period from January 4, 2001 through and including January 14, 2003 (the "Class Period").

The suit names Transkaryotic Therapies, Inc. ("Transkaryotic" or the "Company") as a defendant, along with Richard F. Selden, the Company's President and CEO; and Rodman W. Moorhead III, the Company's Chairman. The complaint asserts securities fraud claims under sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder.

The complaint alleges that the defendants violated the federal securities laws by making materially false and misleading statements and failing to disclose material adverse information regarding the prospects for FDA approval of Replagal, Transkaryotic's drug for the treatment of Fabry disease. In particular, the complaint alleges that defendants repeatedly represented that FDA approval was not only likely, but imminent, when they knew or should have known that the Replagal Biologics License Application ("BLA") the Company had submitted to the FDA was grossly deficient and could not support approval.

At a meeting on January 14, 2003, the FDA Advisory Committee voted 15-0 to tell the FDA that Transkaryotic had not provided sufficient evidence that Replagal is effective in treating Fabry disease. It was also revealed that the FDA had informed the Company as early as December 2000 that the renal and liver data submitted by Transkaryotic did not support FDA approval. When Transkaryotic shares resumed trading on January 15, 2003, they lost more than 25% of their value in a single day, falling to $6.49 per share. As a result of defendants' alleged misrepresentations and omissions, plaintiff alleges, the market price of Transkaryotic securities was artificially inflated during the Class Period.

The law firm of Cohen, Milstein, Hausfeld & Toll, P.L.L.C., has significant experience in prosecuting investor class actions and actions involving financial fraud. The firm has offices in Washington, D.C., Seattle and New York, and is active in major litigation pending in federal and state courts throughout the nation. Please visit our website at www.cmht.com.

The firm's reputation for excellence has been recognized on repeated occasions by courts which have appointed the firm to lead positions in complex multi-district or consolidated litigation. Cohen, Milstein, Hausfeld & Toll, P.L.L.C. has taken a lead role in numerous important cases on behalf of defrauded investors, and has been responsible for a number of outstanding recoveries which, in the aggregate, total in the billions of dollars.

If you are a member of the Class, you may request to serve as a lead plaintiff. The deadline for making such a request is March 25, 2003. If you have questions with regard to this case, your rights or serving as a lead plaintiff, you may contact one of the following:

Steven J. Toll, Esq.

Mary Ann Fink 

Cohen, Milstein, Hausfeld & Toll, P.L.L.C.

1100 New York Avenue, NW

West Tower, Suite 500

Washington, DC 20005

Telephone: [phone] or 202/408-4600

Email: [e-mail] or [e-mail]