Seres Therapeutics, Inc. (Nasdaq: MCRB)
A class action has been filed in the United States District Court for the District of Massachusetts on behalf of purchasers of Seres Therapeutics, Inc. (Nasdaq: MCRB) common stock between June 25, 2015 and July 29, 2016 (the “Class Period”).
The complaint charges that throughout the Class Period, defendants made materially false and misleading statements about the potential for FDA approval and efficacy of SER-109. In particular, defendants touted the drug’s potential, calling it one among a "novel class of biological drugs" and a potential "first-in-field drug," despite knowledge that the Phase 2 clinical trial of SER-109 would fail to achieve its primary endpoint as compared to placebo and that undisclosed modifications had been made to the Phase 2 trial that may have had an “adverse impact” on the drug. As a result of these false and misleading statements, Seres stock traded at artificially inflated prices of close to $50 per share during the Class Period.
On July 29, 2016, the Company announced the interim eight-week results from the Phase 2 clinical trial of SER-109. The Company disclosed that SER-109 did not achieve its primary endpoint of reducing the relative risk of CDI recurrence at up to eight weeks when compared to placebo. Significantly, according to the results, SER-109 failed to be even marginally more effective than placebo. In addition, in an earnings call with analysts that day, President and CEO Roger J. Pomerantz revealed that certain undisclosed modifications had been made to the formulation of SER-109 prior to the trial and that they were “seeking to ascertain if any of these changes had an adverse impact on [the] drug.” Following this news, the price of Seres stock fell from a close of $35.77 per share on July 28, 2016, to a close of just $9.73 per share on August 1, 2016.
If you are a current shareholder and purchased stock between June 25, 2015 and July 29, 2016, and would like to discuss your options of exercising your rights as a shareholder, please contact us.
Please submit the following information so we can determine if you qualify for the suit. If you don't know all the specific details, partial information is also acceptable.
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