NEW YORK, May 26, 2021 (GLOBE NEWSWIRE) – Bragar Eagel & Squire, PC, a nationally recognized shareholder rights law firm, reminds investors that class actions have been filed on behalf of Peloton shareholders Interactive, Inc. (NASDAQ: PTON) and ChemoCentryx, Inc. (NASDAQ: CCXI). Shareholders have until the deadlines below to request the court to act as the main plaintiff. Additional information on each case can be found at the link provided.
Peloton Interactive, Inc. (NASDAQ: PTON)
Course period: from September 11, 2020 to May 5, 2021
Lead Applicant Deadline: June 28, 2021
Peloton offers interactive fitness products such as the Peloton Bike and the Peloton Tread + and Tread, which include touch screens that broadcast lessons live and on demand. Peloton also offers connected fitness subscriptions and access to all live and on-demand classes.
On April 17, 2021, the day the market closed, the CPSC issued a press release titled “CPSC Warns Consumers: Stop Using the Peloton Tread +” alerting the public to the dangers, including death, associated with Peloton Tread + .
On April 18, 2021, a day the market was closed, defendant Foley wrote an emailed letter to the owners of Tread + and posted on the company’s website stating that Peloton had “no intention” of stop selling or recalling the Tread +.
At this news, Peloton’s stock price fell $ 16.28 per share, or more than 14%, over the next three trading days to close at $ 99.93 per share on April 21, 2021.
Then, on May 5, 2021, Peloton issued a recall of its Tread + and admitted that it was wrong to characterize the CPSC warning as “inaccurate and misleading”.
Following this news, Peloton’s stock price fell $ 14.08 per share, or more than 14%, to close at $ 82.62 per share on May 5, 2021.
The amended complaint, filed on May 6, 2021, alleges that throughout the appeal period, the defendants made false and / or misleading statements and / or failed to disclose that: (1) in addition to the tragic death a child, Peloton’s Tread + had caused a serious threat to the safety of children and pets, as there were several incidents of injury to both; (2) safety was not a priority for Peloton as the accused were aware of serious injuries and fatalities resulting from Tread + but did not recall or suggest discontinuing use of Tread +; (3) Due to safety concerns, the US Consumer Product Safety Commission (“CPSC”) has declared Tread + to pose a serious risk to public health and safety, which has led to its urgent recommendation to consumers with young children to stop using the Tread +; (4) CPSC also saw a threat to the safety of Tread + users if they lost their balance; and (5) as a result of the foregoing, the defendants’ statements about Peloton’s business, operations and prospects were materially false and misleading and / or lacked reasonable basis at all material times. When the real details entered the market, the lawsuit claims that investors have suffered damage.
For more information on the SOS class action, please visit: https://bespc.com/cases/PTON
ChemoCentryx, Inc. (NASDAQ: CCXI)
Course period: from November 26, 2019 to May 3, 2021
Lead Applicant Deadline: July 6, 2021
After market close on November 25, 2019, ChemoCentryx issued a press release announcing: “Positive high level data from the pivotal phase III ADVOCATE trial demonstrating the superiority of Avacopan over the standard of care in associated vasculitis to ANCA. ” Throughout the class-action period, defendants praised the results of the phase III ADVOCATE trial, as well as the safety profile of avacopan for the treatment of ANCA-associated vasculitis (“AAV “).
However, the truth was revealed on May 3, 2021 when the United States Food and Drug Administration (“FDA”) released a backgrounder regarding ChemoCentryx’s New Drug Application (“NDA”) # 214487 for the ‘avacopan. In this backgrounder, the FDA wrote that “[c]Study design complexities, as detailed in the backgrounder, raise questions about the interpretability of the data to define a clinically significant benefit of avacopan and its role in the management of AAV. The briefing paper continued that “[a]Although the primary efficacy comparisons were statistically significant, the review team identified several areas of concern, raising uncertainties about the interpretability of these data and the clinical significance of these results. The FDA has also raised serious safety concerns with avacopan for the treatment of vasculitis associated with ANCA.
Following this news, ChemoCentryx’s common share price fell more than 45% in one day, down from its May 3, 2021 closing price of $ 48.82 per share to a May 4, 2021 close. of $ 26.63 per share.
The complaint alleges that throughout the trial period, the defendants misrepresented and / or failed to disclose to investors that: (1) the design of the ADVOCATE Phase III trial study had interpretive issues trial data to define a clinically significant benefit of avacopan and its role in the management of vasculitis associated with ANCA; (2) data from the phase III ADVOCATE trial raised serious safety concerns for avacopan; (3) these issues were of significant concern regarding the viability of ChemoCentryx NDA for avacopan for the treatment of vasculitis associated with ANCA; and (4) because of the foregoing, the defendants’ public statements were materially false and misleading at all material times.
For more information on the Canoo class action, please visit: https://bespc.com/cases/CCXI
About Bragar Eagel & Squire, PC:
Bragar Eagel & Squire, PC is a nationally recognized law firm with offices in New York, California and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivatives and other complex litigation in state and federal courts across the country. For more information about the company, please visit www.bespc.com. Lawyer advertising. Past results do not guarantee similar results.
Bragar Eagel and Squire, PC
Brandon Walker, Esq.
Melissa Fortunato, Esq.
Marion Passmore, Esq.