San Francisco, California--(Newsfile Corp. - October 27, 2020) - Hagens Berman urges Homology Medicines, Inc. (NASDAQ: FIXX) investors with significant losses to submit your losses now. The firm is investigating possible securities fraud and certain investors may have valuable claims.
Homology Medicines is a Boston, MA-based gene therapy company focused on curing rare genetic diseases.
The investigation centers on the accuracy of Homology Medicines' statements concerning the efficacy of its first and lead product candidate, HMI-102, which purportedly treats a rare inherited disorder that causes an amino acid called phenylalanine (Phe) to build up in the body and lead to serious health problems.
In June 2019, Homology Medicines launched a dose-escalation Phase 1/2 clinical trial for HMI-102. Thereafter, Homology Medicines touted initial results, claiming the drug "reported encouraging safety and efficacy data from the dose-escalation portion of the trial," and that the data showed HMI-102 "produced a sustained reduction in phenylalanine (Phe)."
But on April 15, 2020, a key patient in the Phase 1/2 clinical trial shared test results on Facebook suggesting that HMI-102 gene therapy is unlikely to be efficacious, even in high-dose patients. Although the posts were suspiciously taken down the same day, the Company's stock fell almost 25%.
Then, on July 21, 2020, Mariner Research published a scathing report, claiming Homology Medicines' recent comments about HMI-102's safety were misleading since they "conveniently ignor[ed] the implications to efficacy and the business." Piecing together disclosed data from a mouse study, the Phase 1/2 trial, and the patient's Facebook posts, Mariner Research concluded that HMI-102 "therapy is showing zero efficacy even for a high dose patient," signifying that "the HMI-102 program is dead in the water." Moreover, citing internal emails and analyst reports, Mariner Research claimed Homology Medicines had selectively discussed the patient's Facebook posts with sell side analysts covering the Company and major investors, to the detriment of the Company's shareholder base.
Following Mariner's report, the price of Homology Medicines shares fell lower the next day.
"We're focused on investors' losses and whether Homology Medicines misled investors about the HMI-102 high dose data," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you are a Homology Medicines investor and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Homology Medicines should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email FIXX@hbsslaw.com.
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