PHILADELPHIA, May 8, 2024 /PRNewswire/ -- Berger Montague PC has filed a class action lawsuit on behalf of investors who purchased securities of Anavex Life Sciences Corporation ("Anavex" or the "Company") (NASDAQ: AVXL) from June 21, 2021 through and including January 1, 2024 (the "Class Period"). The action, captioned Downing v. Anavex Life Sciences Corporation, et al., Case No. 1:24-cv-3529 (the "Downing Action") was filed in the United States District Court for the Southern District of New York.
Another related class action pending against Anavex was filed in the United States District Court for the Southern District of New York. The plaintiff in the related class action issued a notice of its filing pursuant to the federal securities laws which triggered the deadline of May 13, 2024 for any Anavex investors to seek to be appointed as a lead plaintiff. The filing of the Downing Action does not change the May 13, 2024 deadline.
Important Deadline Reminder: If you are a member of the proposed class, you may move the court no later than May 13, 2024 to serve as a lead plaintiff for the proposed class. You need not seek to become a lead plaintiff to share in any possible recovery. If you suffered losses, would like to discuss Berger Montague's investigation, or have questions concerning your rights or interests, please contact attorneys James Maro at jmaro@bm.net or (267) 637-3176, or Andrew Abramowitz at aabramowitz@bm.net or (215) 875-3015, or visit: https://investigations.bergermontague.com/anavex/
NO CLASS HAS YET BEEN CERTIFIED IN THE ABOVE ACTION. UNTIL A CLASS IS CERTIFIED, YOU ARE NOT REPRESENTED BY COUNSEL UNLESS YOU RETAIN ONE. YOU MAY RETAIN COUNSEL OF YOUR CHOICE. YOU MAY ALSO REMAIN AN ABSENT CLASS MEMBER AND DO NOTHING AT THIS POINT. AN INVESTOR'S ABILITY TO SHARE IN ANY POTENTIAL FUTURE RECOVERY IS NOT DEPENDENT UPON SERVING AS LEAD PLAINTIFF.
The complaint in the Downing Action alleges that Anavex and Christopher U. Missling, Anavex's Chief Executive Officer (collectively "Defendants"), violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the Securities and Exchange Commission.
The Class Period commences on June 21, 2021, when Anavex announced "convincing biomarker correlating efficacy data" for the AVATAR Phase II and III ("AVATAR") clinical trials which tested ANAVEX 2-73 as a treatment for adults with Rett syndrome. The complaint alleges that throughout the AVATAR study, Defendants represented that Anavex would use certain primary and secondary research outcomes for its testing of ANAVEX 2-73. These research outcomes, or endpoints, were listed on the Clinical Trials website, where Anavex routinely updated the status of the study.
Investors learned the truth on January 2, 2024, when Anavex issued a press release announcing "Topline Results from Phase 2/3 EXCELLENCE Clinical Study in Pediatric Rett Syndrome." The Company reported "improvement on the key co-primary endpoint Rett Syndrome Behaviour Questionnaire (RSBQ)." However, the "the other co-primary endpoint, the Clinical Global Impression – Improvement (CGI-I) . . . was not met."
The Company used a "mixed-effect model for repeated measure (MMRM)" method for analyzing improvement on the RSBQ for ANAVEX 2-73-treated patients versus those on placebo. Of the various MMRM statistics reported result, one reached statistical significance – "ANAVEX 2-73-treated patients demonstrated a rapid onset of action with improvements at 4 weeks after treatment with a RSBQ total score LS Mean (SE) -10.32 (2.086) points in the drug-treated group compared to a LS Mean (SE) -5.67 (2.413) points in placebo-treated patients." The MMRM method was not used in the AVATAR study nor was an LS Mean score reported in AVATAR. Nonetheless, the Company blamed any perceived deficiencies in the EXCELLENCE study on "large placebo effect which may have masked the compound's therapeutic effect," according to the press release. The Company offered no evidence to support that claim.
Following this news, Anavex share price fell from $9.31 per share on December 29, 2023 to $6.05 on January 2, 2024.
Berger Montague, with offices in Philadelphia, Minneapolis, Delaware, Washington, D.C., San Diego, San Francisco and Chicago, has been a pioneer in securities class action litigation since its founding in 1970. Berger Montague has represented individual and institutional investors for over five decades and serves as lead counsel in courts throughout the United States.
Contacts
James Maro, Senior Counsel
Berger Montague
(267) 637-3176
jmaro@bm.net
Andrew Abramowitz, Senior Counsel
Berger Montague
(215) 875-3015
aabramowitz@bm.net
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SOURCE Berger Montague
