Join The Class Action Suit
Company: MacroGenics, Inc.
A shareholder class action lawsuit has been filed against MacroGenics, Inc. (NASDAQ:MGNX) (“MacroGenics”) on behalf of investors who purchased shares of the Company’s common stock between February 6, 2019 and June 3, 2019 (the “Class Period”).
The complaint alleges that throughout the Class Period, defendants violated the federal securities laws by disseminating false and misleading statements to the investing public and/or failing to disclose adverse facts pertaining to the Company’s Phase III SOPHIA trial. Specifically, defendants concealed material information and/or failed to disclose that: (a) the Company had conducted the progression-free survival (“PFS”) and first interim overall survival (“OS”) analyses for the SOPHIA trial by no later than October 10, 2018; (b) the October 2018 PFS analysis showed a 0.9 month improvement in PFS; and (c) the October 2018 OS interim analysis did not produce a statistically significant result and the interim OS Kaplan-Meier curves (a non-parametric statistic used to estimate the survival function from lifetime data) crossed in several spots (thereby violating the constant hazard assumption) and separated late. As a result of this information being withheld from the market, MacroGenics common stock traded at artificially inflated prices during the Class Period, reaching a high of $25.60 per share on February 6, 2019.
On May 13, 2019, the American Society of Clinical Oncologists (“ASCO”) posted the SOPHIA study abstract on the Internet. The abstract disclosed that the October 2018 PFS analysis resulted in a 0.9 month improvement in PFS. Following this news, shares of MacroGenics’ common stock dropped $1.17 per share, to close at $16.25 per share on May 13, 2019, a decline of 7%.
Then on June 4, 2019, during the ASCO annual meeting, the Company disclosed additional data for the SOPHIA trial. In its presentation, MacroGenics revealed that it had conducted the PFS and OS analyses in October 2018, and the OS analyses for the SOPHIA trial demonstrated Kaplan-Meier curves crossing at several spots with late separation. Following this additional news, shares of MacroGenics’ common stock dropped 17%, or $3.13 per share, to close at $15.58 per share on June 4, 2019.
Stockholders who purchased shares of MacroGenics’ common stock prior to February 6, 2019 are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq.) at (888) 715 – 1740, or by completing the information form on this page, for additional information about this action and their legal rights and options.
Kaskela Law represents current and former shareholders of publicly traded corporations in securities fraud class actions, shareholder derivative actions, and merger & acquisition litigation. The firm exclusively litigates cases on behalf of investors on a contingency basis – advancing all costs and fees until the successful resolution of a case.