Robbins Geller Rudman & Dowd LLP files a class action lawsuit against Cassava Sciences, Inc. and announces the opportunity for investors with significant losses to lead the business

SAN DIEGO, August 28, 2021–(BUSINESS WIRE)–Robbins Geller Rudman & Dowd LLP announces it has filed a class action lawsuit in which Cassava Sciences, Inc. (NASDAQ: SAVA) and some of its executives are charged with violations of the Securities Exchange Act of 1934 and seeking to represent purchasers of common stock of Cassava Sciences between February 2, 2021 and August 24, 2021, inclusive (the “Class Period”). The Cassava Sciences class action lawsuit commenced on August 27, 2021 in the western district of Texas and is caption Brazeau v. Cassava Sciences, Inc., no. 21-cv-00751.

To act as lead plaintiff of the Cassava Sciences class action lawsuit, enter your details by clicking here. You can also contact a lawyer Mary K. Blasy from Robbins Geller by calling 800/449-4900 or by email at [email protected]. Chief Prosecutor’s Motions for the Cassava Sciences class action lawsuit must be filed in court by October 26, 2021.

The plaintiff is represented by Robbins Geller, who has: extensive experience in pursuing investor class actions, including actions involving financial fraud. You can view a copy of the complaint by clicking here.

CASE DESCRIPTIONS: Cassava Sciences’ lead drug candidate during the class period was simufilam, a small molecule drug designed to treat Alzheimer’s disease. On February 2, 2021, Cassava Sciences announced the results of the interim analysis of an open-label study of simufilam, which would show that patients’ cognition and behavioral scores both improved after six months of simufilam treatment, with no safety concerns. As the market digested this seemingly great news, the market price of Cassava Sciences common stock rose and Cassava Sciences immediately cashed in on stock price inflation, issuing and selling more than four million common stocks at $49 a share on 12 December. February. 2021 through an underwritten follow-up offering of public shares and achieving more than $200 million in gross proceeds.

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The Cassava Sciences class action lawsuit alleges that during the Class period, defendants made false and misleading statements and failed to disclose that: (i) the quality and integrity of the scientific data supporting Cassava Sciences’ claims for the efficacy of simulfilams was exaggerated ; (ii) the scientific data supporting Cassava Sciences’ claims about the efficacy of simulfilams were biased; and (iii) as a result, Defendants’ positive statements during the class regarding Cassava Sciences’ business statistics and financial prospects and the likelihood of approval from the United States Food Drug Administration (“FDA”) were false and misleading and/or lacked a reasonable basis.

On August 24, 2021, it was announced that the FDA had received a so-called Citizen Petition initiating an administrative action to “terminate two ongoing studies of the drug.” [s]imufilam. . . pending a thorough review by the FDA.” As described in the Citizen Petition, “[i]information available to the submitter. . . raises serious concerns about the quality and integrity of the laboratory studies surrounding this drug candidate and in support of its claims of efficacy.” After summarizing the findings, the Citizen Petition further concluded that “the extensive evidence set forth in the attached report, raising serious concerns about the quality and integrity of the scientific data supporting Cassava [Sciences] claims to [simulfilam]s efficacy, provides compelling reasons to suspend ongoing clinical trials until FDA can conduct and complete a rigorous audit of cassava [Sciences] research.” On this news, the price of Cassava Sciences common stock dropped about 32%, hurting investors.

THE PROCESS OF THE HEAD WANDER: The Private Securities Litigation Reform Act of 1995 allows any investor who has purchased Cassava Sciences common stock during the Class Period to be named a lead plaintiff in the Cassava Sciences class action lawsuit. A lead plaintiff is generally the person with the greatest financial interest in the relief sought by the alleged class, which is also typical and adequate for the alleged class. A lead plaintiff acts on behalf of all other class members in directing the Cassava Sciences class action lawsuit. The lead plaintiff may select a law firm of his choice to litigate against the Cassava Sciences class action lawsuit. Investors’ ability to share in a possible future recovery of the Cassava Sciences class action lawsuit does not depend on acting as lead plaintiff.

ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: With 200 attorneys in 9 offices nationwide, Robbins Geller Rudman & Dowd LLP is the largest US law firm representing investors in securities class actions. Robbins Geller’s attorneys have secured many of the largest shareholder recoveries in history, including the largest-ever securities class action recovery of $7.2 billion in About Enron Corp. sec. litig. The 2020 ISS Securities Class Action Services Top 50 Report ranked Robbins Geller first for recovering $1.6 billion for investors last year, more than double the amount recovered by another company that had securities claimants. Please visit http://www.rgrdlaw.com For more information.

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Check out the source version at businesswire.com: https://www.businesswire.com/news/home/20210828005004/en/

Contacts

Robbins Geller Rudman & Dowd LLP
655 W. Broadway, San Diego, CA 92101
Mary K. Blasy, 800-449-4900
[email protected]