SAGE INVESTOR ALERT: Edelson Lechtzin LLP Urges Sage Therapeutics, Inc. (NASDAQ: SAGE) Shareholders to Seek Legal Counsel About the Pending Securities Fraud Class Action
NEWTOWN, Pa., Sept. 5, 2024 /PRNewswire/ -- Edelson Lechtzin LLP, a leading class action law firm, announces that investors of Sage Therapeutics, Inc. common stock (NASDAQ: SAGE) between April 12, 2021, and July 23, 2024, inclusive (the "Class Period") may seek appointment as lead plaintiff in the pending securities fraud class action lawsuit. A copy of the Complaint can be found HERE.
Investors who purchased Sage stock may move the U.S. District Court for the Southern District of New York to appoint them as lead plaintiff, no later than October 28, 2024. Please contact Edelson Lechtzin LLP to discuss your SAGE losses at 844-696-7492, or by e-mail at [email protected].
Background on Sage Therapeutics, Inc.
Sage Therapeutics, based in Cambridge, Massachusetts, is a biopharmaceutical company dedicated to creating new treatments for people with serious brain disorders.
The Securities Fraud Claims
Throughout the Class Period, the Complaint alleges that Defendants made materially false and misleading statements regarding Sage Therapeutics's business, operations, and prospects, including that: (i) SAGE-217 (zuranolone) was less effective in treating major depressive disorder ("MDD") than Defendants led investors to believe; (ii) accordingly, the FDA was unlikely to approve the zuranolone for the treatment of MDD in its present form, and zuranolone's clinical results for MDD, and its overall regulatory and commercial prospects, were overstated; (iii) SAGE-718 (dalzanemdor), was less effective in treating mild cognitive impairment ("MCI") due to Parkinson's Disease ("PD") than Defendants led investors to believe; (iv) accordingly, SAGE-718's clinical, regulatory, and commercial prospects as a treatment for MCI due to PD were overstated; (v) SAGE-324, an investigational drug for the treatment of essential tremor ("ET") was less effective than Defendants led investors to believe; and (vi) accordingly, SAGE-324's clinical, regulatory, and commercial prospects as a treatment for ET were overstated.
On August 4, 2023, Sage announced that the FDA approved zuranolone for treating adults with postpartum depression ("PPD") but issued a Complete Response Letter for treating adults with MDD. The FDA letter stated that the evidence provided did not sufficiently support its effectiveness for treating MDD and recommended additional studies for that use. On this news, Sage's stock price fell $19.35 per share, or 53.6%, to close at $16.75 per share on August 7, 2023.
On April 17, 2024, Sage announced that the Phase 2 study of SAGE-718 as a treatment for MCI due to PD did not show a significant difference from the placebo in the test results. As a result of this data, Sage stated that it does not plan to continue developing SAGE-718 for PD. On this news, Sage's stock price fell $3.06 per share, or 19.58%, to close at $12.57 per share on April 17, 2024.
On July 24, 2024, Sage announced that a study of SAGE-324 as a treatment for ET did not show a clear relationship between the dose given and the improvement in symptoms among participants with ET. The study also found that SAGE-324 did not demonstrate any significant differences compared to a placebo in improving symptoms or daily functioning. As a result, Sage and Biogen halted the ongoing safety study of SAGE-324 in ET and discontinued development of SAGE-324 for ET treatment. On this news, Sage's stock price fell $2.70 per share, or 20.64%, to close at $10.38 on July 24, 2024.
The case is Korver v. Sage Therapeutics, Inc. et al., Docket No. 1:2024-cv-06511 (S.D.N.Y.)
For more information, please contact:
Marc H. Edelson, Esq.
Eric Lechtzin, Esq.
EDELSON LECHTZIN LLP
411 S. State Street, Suite N-300
Newtown, PA 18940
Phone: 844-696-7492 or 215-867-2399 ext. 1
Email: [email protected]
Email: [email protected]
Web: www.edelson-law.com
Edelson Lechtzin LLP is a leading class action law firm with offices in Pennsylvania and California. In addition to cases involving securities and investment fraud, our lawyers focus on class and collective litigation in cases alleging violations of the federal antitrust laws, employee benefit plans under ERISA, wage theft and unpaid overtime, consumer fraud, and dangerous and defective drugs and medical devices.
This press release may be considered Attorney Advertising in some jurisdictions. No class has been certified in this case, so you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. Your ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.
SOURCE Edelson Lechtzin LLP
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