Zafgen Shares Plummet After Second Patient Dies During Obesity Drug Trial
Lead Plaintiff Deadline is December 21, 2015
NEW YORK, Dec. 02, 2015 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP reminds investors that a class action lawsuit has been filed in the United States District Court for the District of Massachusetts on behalf of all persons or entities that purchased the common stock of Zafgen, Inc. ("Zafgen" or the "Company") (NASDAQ: ZFGN ) between January 12, 2015 and October 16, 2015, inclusive (the "Class Period"). Shareholders of Zafgen, Inc. who incurred substantial losses on shares purchased within the Class Period are urged to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774.
If you purchased the shares of Zafgen, Inc. during the period January 12, 2015 through October 16, 2015, inclusive, you may, no later than December 21, 2015 , request that the Court appoint you lead plaintiff of the proposed class.
The filed Complaint alleges that during the Class Period, defendants issued materially false and misleading public statements, and/or failed to disclose material information concerning adverse thrombotic events experienced by patients in the Company's clinical trials of its primary new drug product, beloranib . Specifically, the Complaint alleges that defendants failed to disclose that one participant in the beloranib Phase 3 study, who had died, was receiving beloranib and not a placebo. In addition, the Complaint alleges that while Zafgen had reported 2 thrombotic events in prior clinical studies, there had actually been 4 such events, as well as 2 additional thrombotic events in other ongoing studies.
The Complaint further alleges that on October 15, 2015, the Food and Drug Administration placed a partial clinical hold on beloranib . On that news, the price of the Company's common stock fell to a close of $10.36 per share on October 16, 2015, from a close of $21.02 per share on the previous day. This 50% decline resulted in a market capitalization loss of $288 million.
On December 2, 2015, the shares once again plummeted after the Company announced that a second patient died during a late-stage trial of its beloranib drug. The shares of Zafgen were trading $6.50, down $9.43, intraday. The shares traded at $47.98 as recently as September 21, 2015.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein Adler Freeman & Herz LLP by telephone at (800) 575-0735, via e-mail at classmember@whafh.com , or visit our website at www.whafh.com. All e-mail correspondence should make reference to the “Zafgen Investigation.”
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Wolf Haldenstein Adler Freeman & Herz LLP Kevin Cooper, Esq. Gregory Stone, Director of Case and Financial Analysis Email: gstone@whafh.com, kcooper@whafh.com or classmember@whafh.com Tel: (800) 575-0735 or (212) 545-4774
