Company: Menlo Therapeutics Inc.
Kaskela Law LLC is investigating Menlo Therapeutics Inc. (NASDAQ: MNLO) (“Menlo” or the “Company”) on behalf of investors. The investigation seeks to determine whether Menlo violated the federal securities laws by issuing misleading statements to investors, and whether the Company’s investors have been harmed as a result.
Menlo is a late-stage biopharmaceutical company focused on the development of serlopitant for the treatment of pruritus associated with various underlying dermatologic conditions and for the treatment of refractory chronic cough.
On or around January 24, 2018, Menlo completed an initial public offering (“IPO”) of common stock, selling over 8 million shares of stock to investors at $17.00 per share, for gross proceeds of $136.9 million. By February 2018, shares of the Company’s common stock had increased in value to over $30.00 per share.
On April 6, 2018, the Company disclosed top-line results from MTI-103 (ATOMIK), the Phase 2 clinical trial of serlopitant for the treatment of pruritus in adults and adolescents with a history of atopic dermatitis. Therein the Company reported that the study “did not meet its primary or key secondary efficacy endpoints with no statistically significant difference demonstrated between the serlopitant treated groups and the placebo treated group.” Among other things, Menlo’s CEO also disclosed how “the results in this Phase 2 trial of pruritus associated with atopic dermatitis did not reach statistical significance and did not show the same magnitude of treatment effect as in our prior pruritus studies.”
Following this news, shares of the Company’s common stock declined $27.05 per share, or over 75%, to close on April 9, 2018 at $8.17 per share.
Menlo investors and individuals with information relevant to this investigation are encouraged to contact Kaskela Law LLC and/or complete the information form on this page.