NEW YORK, March 28, 2018 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Solid Biosciences, Inc. (“Solid Biosciences” or the “Company”) (NASDAQ: SLDB) in the United States District Court for the District of Massachusetts on behalf of a class consisting of investors who purchased or otherwise acquired common stock of Solid Biosciences pursuant and/or traceable to the Company’s January 25, 2018 initial public offering (“IPO”) and/or acquired stock on the open market between January 25, 2018 and March 14, 2018, inclusive (the “Class Period”), seeking to recover compensable damages caused by Defendants’ violations of the Securities Exchange Act of 1934.
On January 30, 2018, an article was published by various medical experts highlighting the risks of studies using high doses of gene therapies using adeno-associated virus (AAV) -- the delivery system used by Solid Biosciences’ lead drug candidate SGT-001. One of the article’s co-authors was Dr. James Wilson, a former member of the Solid Biosciences’ advisory board. On this news the Company’s shares fell $1.20 per share, or over 5%, to close on January 30, 2018 at $22.50 per share.
Then on March 14, 2018, the Company announced that the U.S. Food and Drug Administration (“FDA”) had placed a clinical hold on the SGT-001 Phase I/II clinical trial, IGNITE DMD, because of adverse events associated with the therapy. On this news, Solid Biosciences’ share price fell $16.99 per share, or over 60%, to close at $9.32 per share on March 15, 2018.
The complaint filed in this class action alleges that, throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, the Complaint alleges that the Defendants failed to disclose: (1) that Solid Biosciences’ lead drug candidate SGT-001 had a high likelihood of causing adverse events in patients; (2) that Solid Biosciences misled investors regarding the toxicity of SGT-001; and (3) that, as a result of the foregoing, Defendants’ statements in the Registration Statement regarding Solid Biosciences’ business, operations, and prospects, were materially false and/or misleading, and thereby injured investors.
Investors who purchased or otherwise acquired shares during the Class Period should contact the Firm prior to the May 29, 2018 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.
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