GlobeNewswire Inc | Jul 19, 2021 06:13PM EDT

July 19, 2021

NEW YORK, July 19, 2021 (GLOBE NEWSWIRE) -- Lowey Dannenberg P.C., a preeminent law firm in obtaining redress for consumers and investors, is investigating claims of violations of federal securities laws on behalf of investors of Athira Pharma, Inc. (Athira or the Company) (NASDAQ: ATHA). If you are a shareholder of Athira with more than $50,000 in losses, you should contact the Firm.

Athira is a late-stage clinical biopharmaceutical company that is focused on developing small molecules to restore neuronal health and stop neurodegeneration.

On June 17, 2021, after the market closed, Athira announced that it had placed its president and Chief Executive Officer, Dr. Leen Kawas (Kawas), on leave pending a review of actions stemming from doctoral research she conducted while at Washington State University (WSU).

The same day,STATpublished an article stating that WSU was investigating claims that Dr. Kawas published several papers containing altered images while she was a graduate student. These papers are foundational to Athiras efforts to treat Alzheimers because they established that a particular molecule affects the activity of HGF. Though Athira is developing a different molecule than the one Kawas examined in the papers at issue, her doctoral work laid the biological groundwork that Athira continues to use in their approach to treating Alzheimers.

On this news, the Companys share price fell $7.09, or approximately 39%, to close at $11.15 per share on June 18, 2021, on unusually heavy trading volume.

A securities class action has been filed against Athira and several of its officers in the United States District Court for the Western District of Washington, on behalf of investors who acquired the Companys common stock. The Complaint alleges that Athiras Registration Statement was materially false and misleading and omitted to state: (1) that Kawas had published research papers containing improperly altered images while she was a graduate student; (2) that this purported research was foundational to Athiras efforts to develop treatments for Alzheimers because it laid the biological groundwork that Athira was using in its approach to treating Alzheimers; (3) that, as a result, Athiras intellectual property and product development for the treatment of Alzheimers were based on invalid research; and (4) that, as a result of the foregoing, Defendants positive statements about the Companys business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.

If you purchased Athira Pharma, Inc. securities between September 18, 2020 and June 17, 2021, inclusive, you have until August 24, 2021 to ask the Court to appoint you as Lead Plaintiff for the class. To participate, learn more, or discuss the issues surrounding the investigation, please contact our attorneys at (914) 733-7256 or via email atinvestigations@lowey.com.

Whistleblowers: Persons with non-public information regarding Athira Pharma, Inc. 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.

About Lowey Dannenberg

Lowey Dannenberg is a national firm representing institutional and individual investors, who suffered financial losses resulting from corporate fraud and malfeasance in violation of federal securities and antitrust laws. The firm has significant experience in prosecuting multi-million-dollar lawsuits and has previously recovered billions of dollars on behalf of investors.

Contact

Lowey Dannenberg P.C.44 South Broadway, Suite 1100White Plains, NY 10601Tel: (914) 733-7256Email:investigations@lowey.com