Homology Medicines, Inc. Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit – FIXX
SAN DIEGO, CA (ClassActionDaily) Robbins Geller Rudman & Dowd LLP announces that purchasers of Homology Medicines, Inc. (NASDAQ: FIXX) securities between June 10, 2019, and February 18, 2022, inclusive (the “Class Period”) have until May 24, 2022, to seek appointment as lead plaintiff in Pizzuto v. Homology Medicines, Inc., No. 22-cv-01968 (C.D. Cal.). Commenced on March 25, 2022, the Homology Medicines class-action lawsuit charges Homology Medicines as well as certain of its top executive officers with violations of the Securities Exchange Act of 1934.
CASE ALLEGATIONS: Homology Medicines is a genetic medicines company and its lead product candidate is HMI-102, a gene therapy for the treatment of phenylketonuria (“PKU”) in adults that is in Phase I/II pheNIX clinical trial (the “HMI-102 Trial”). On June 10, 2019, Homology Medicines issued a press release announcing that it had commenced enrollment in the HMI-102 Trial.
The Homology Medicines class-action lawsuit alleges that, throughout the Class Period, defendants made false and misleading statements and failed to disclose that: (i) Homology Medicines had overstated HMI-102’s efficacy and risk mitigation; (ii) accordingly, it was unlikely that Homology Medicines would be able to commercialize HMI-102 in its present form; and (iii) as a result, Homology Medicines’ public statements were materially false and misleading at all relevant times.
On July 21, 2020, Mariner Research published a report questioning statements by Homology Medicines and its officers about the efficacy of HMI-102. Mariner focused on Homology Medicines’ HMI-102 dose-escalation pheNIX trial, concluding that Homology Medicines concealed data showing HMI-102’s lack of efficacy and indicating that the program was unlikely to proceed to commercialization. Among other evidence, Mariner cited an email from Homology Medicines’ Chief Communications Officer appearing to indicate Homology Medicines’ awareness that a HMI-102 high dose patient had adverted to the adverse efficacy issue in a social media post during April 2020. On this news, Homology Medicines’ stock price fell by more than 10%.
Then, on February 18, 2022, Homology Medicines disclosed that “the U.S. Food and Drug Administration (FDA) has notified the company that its pheNIX gene therapy trial of HMI-102 in adults with phenylketonuria (PKU) has been placed on clinical hold due to the need to modify risk mitigation measures in the study in response to observations of elevated liver function tests” and that Homology Medicines “expects to receive an official clinical hold letter within 30 days.” On this news, Homology Medicines’ stock price fell by more than 32%, further damaging investors.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Homology Medicines securities during the Class Period to seek an appointment as lead plaintiff in the Homology Medicines class-action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the class action lawsuit. An investor’s ability to share in any potential future recovery of the class action lawsuit is not dependent upon serving as lead plaintiff.
If you suffered significant losses and wish to serve as the lead plaintiff of the Homology Medicines class action lawsuit, please provide your information by clicking here. You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at firstname.lastname@example.org. Lead plaintiff motions for the Homology Medicines class-action lawsuit must be filed with the court no later than May 24, 2022.