SAN FRANCISCO, CA / ACCESSWIRE / October 12, 2020 / Hagens Berman urges Homology Medicines, Inc. (NASDAQ: FIXX) investors with significant losses to file their losses now. The company is investigating possible securities fraud and certain investors may have valuable claims.
Relevant Period: Before July 21, 2020
Contact an attorney now: [email protected]
Research by Homology Medicines, Inc. (NASDAQ: FIXX):
Homology Medicines is a Boston, MA-based gene therapy company focused on the healing of rare genetic diseases.
The investigation focuses on the veracity of what Homology Medicines said about the effectiveness of its first and leading product candidate, HMI-102, which allegedly treats a rare hereditary condition that causes an amino acid called phenylalanine (Phe) to build up in and around the body cause serious health problems.
In June 2019, Homology Medicines started a phase 1/2 clinical trial to increase the dose for HMI-102. Thereafter, Homology Medicines promoted initial results, claiming the drug had "reported encouraging safety and efficacy data from the dose escalation portion of the study" and the data showed that HMI-102 "produced a sustained reduction in phenylalanine (Phe)" .
On April 15, 2020, a key patient in the Phase 1/2 clinical trial posted test results on Facebook, suggesting that HMI-102 gene therapy is unlikely to be effective even in high-dose patients. Although jobs were suspiciously cut on the same day, the company's shares fell nearly 25%.
Then, on July 21, 2020, Mariner Research published a scathing report claiming that Homology Medicines' recent comments on the safety of HMI-102 were misleading because they "conveniently ignored the effects on effectiveness and business." Mariner Research compiled disclosed data from a mouse study, the phase 1/2 study, and the patient's Facebook posts and concluded that the HMI-102 therapy was not effective even in a high-dose patient, which means that HMI-102 program is dead in the water. "Citing internal email and analyst reports, Mariner Research also alleged that Homology Medicines selectively discussed the patient's Facebook posts with sell-side analysts covering the company and major investors, which had a detrimental effect on the company's shareholder base.
Mariners reported that Homology Medicines shares fell the next day.
"We're focusing on investor losses and whether Homology Medicines has misled investors about the HMI-102 high dose data," said Reed Kathrein, the Hagens Berman partner who led the investigation.
If you are a Homology Medicines investor who has made significant losses or has knowledge that may aid the company's investigation, click here to discuss your statutory rights with Hagens Berman.
Whistleblowers: Individuals with nonpublic information about homological drugs should review their options to help with the investigation or use the SEC whistleblower program. Under the new program, whistleblowers who provide original information can receive rewards of up to 30 percent for each successful SEC recovery. For more information, call Reed Kathrein at 844-916-0895 or send an email to [email protected]
About Hagens Berman
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SOURCE: Hagens Berman Sobol Shapiro LLP
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