Cassava Sciences Faces Securities Class Action Lawsuit Over Misleading Statements

Cassava Sciences, Inc. is facing a securities class action lawsuit alleging false and misleading statements about the company's drug, simufilam, and its capabilities in treating Alzheimer's Disease. The lawsuit claims that the drug is not capable of abating the progression of the disease, even in mild to moderate cases. Investors who purchased Cassava securities between February 7, 2024, and November 24, 2024, may seek to be appointed as a lead plaintiff by February 10, 2025.

Cassava Sciences, Inc. (SAVA) is currently embroiled in a securities class action lawsuit, with investors alleging false and misleading statements about the company's leading drug candidate, simufilam, and its efficacy in treating Alzheimer's Disease [1]. The lawsuit, which was filed on January 27, 2025, and has a deadline to join of February 10, 2025, accuses the company and its executives of providing investors with misleading information regarding simufilam's potential to treat Alzheimer's Disease [1].

According to the complaint, defendants had repeatedly expressed confidence in simufilam's ability to treat Alzheimer's Disease, citing positive results from preclinical studies [1]. However, on November 25, 2024, Cassava released topline results from the first of its two ongoing Phase 3 studies on simufilam, the "ReThink-ALZ" study. These results indicated that simufilam failed to meet each of the pre-specified primary, secondary, and exploratory endpoints, effectively rendering it ineffective in treating Alzheimer's Disease [1].

Following the release of these disappointing results, Cassava's stock price plummeted, falling from a closing market price of $26.48 per share on November 22, 2024, to $4.30 per share on November 25, 2024, a decline of approximately 83.76% in a single day [1].

Shareholders who purchased SAVA securities during the class period, which spans from February 7, 2024, to November 24, 2024, are encouraged to contact The Gross Law Firm regarding possible lead plaintiff appointment [1]. There is no cost or obligation to participate in this case, and shareholders who register will be enrolled in a portfolio monitoring software to provide them with updates throughout the lifecycle of the case. The deadline to seek lead plaintiff status is February 10, 2025 [1].

Investors who believe they may have been impacted by this securities class action lawsuit should carefully consider their options and seek legal advice from a qualified securities attorney.

References:
[1] Class Action Filed Against Cassava Sciences, Inc. (SAVA) - February 10, 2025 Deadline to Join - Contact The Gross Law Firm. PR Newswire. January 27, 2025. https://www.prnewswire.com/news-releases/class-action-filed-against-cassava-sciences-inc-sava-february-10-2025-deadline-to-join-contact-the-gross-law-firm-301532421.html