Anavex Life Sciences (AVXL) Clinical Trials Issues Case

S.D. New York

Court

1:24-cv-01910

Case number

02/01/2022

Class period Start

01/01/2024

Class period End

05/13/2024

Lead Plaintiff motion deadline

$AVXL stockholder filed a claim vs. Anavex for not properly disclosing clinical trial results.
On January 2, 2024, news of the study results caused $AVXL to fall 35%, losing $268M+ in shareholder value.
Anavex supposedly sponsored Avatar clinical trials to test blarcamesine's effectiveness for treating adults with Rett syndrome. 
Anavex planned to use specific measures to evaluate Avatar's effectiveness, as stated on the ClinicalTrials.
However, Anavex didn't follow the protocol outlined on ClinicalTrials and used different measures to assess the drug's success. 
After announcing Avatar results, $AVXL fell 19% on February 2, 2022.

Anavex is also accused of using similar tactics in its "Excellence" studies.

On January 2, 2024, Anavex revealed the Excellence study results, using a new statistical method. 
However, it only showed statistical significance on one measure, failing on all others.
Following this news, $AVXL dropped 35%.

Based on these events, $AVXL stockholder filed a claim against Anavex and its leaders, accusing them of the following:
Anavex sponsored Avatar clinical trials but used different measures than disclosed.
Anavex repeated similar tactics with its "Excellence" study, also showing insignificant results.
Considering all the representations, investors have reasons to suspect that Anavex didn't properly disclose clinical trial results and didn't follow protocol in the studies.

Case Status

Motion to dismiss

Alleged Offence

Mismanagement,

Misleading Statements,

Omissions

Suspected Party

Directors,

Management

Security Type

Stocks

Trade Direction

Long

Shock Event Date

01/02/2024

Filing date

03/13/2024

Lead Plaintiff Deadline

05/13/2024

Judge

Hon. Colleen McMahon

Anavex Life Sciences (AVXL) Clinical Trials Issues Case

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