GlobeNewswire Inc | Sep 1, 2021 05:03PM EDT

September 01, 2021

NEW YORK, Sept. 01, 2021 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Cassava Sciences, Inc. (Cassava Sciences or the Company) (NASDAQ: SAVA) in the United States District Court for the Western District of Texas on behalf of those who purchased or otherwise acquired Cassava publicly traded securities between February 2, 2021 and August 24, 2021, inclusive (the Class Period).

The Complaint alleges that Defendants made false and misleading statements and failed to disclose that: (1) the quality and integrity of the scientific data supporting the Companys claims for simufilams efficacy had been overstated; (2) the scientific data supporting the Companys claims for simufilams efficacy were biased; and (3) as a result, Defendants positive statements during the Class Period about the Companys business metrics and financial prospects and the likelihood of U.S. Food Drug Administration (FDA) approval were false and misleading and/or lacked a reasonable basis.

On August 24, 2021, it was disclosed that the FDA had received a so-called Citizen Petition commencing an administrative action to halt two ongoing trials of the drug [s]imufilam . . . pending a thorough audit by the FDA. As detailed in the Citizen Petition, [i]nformation available to the petitioner . . . raises grave concerns about the quality and integrity of the laboratory-based studies surrounding this drug candidate and supporting the claims for its efficacy. After summarizing its findings, the Citizen Petition went on to conclude that the extensive evidence set forth in the enclosed report, which presents grave concerns about the quality and integrity of the scientific data supporting Cassava [Sciences] claims for [simufilam]s efficacy, provides compelling grounds for pausing the ongoing clinical trials until the FDA can conduct and complete a rigorous audit of Cassava [Sciences] research. On this news, the price of Cassava Sciences common stock fell approximately 32%, damaging investors.

Investors who purchased or otherwise acquired shares of the Company during the Class Period should contact the Firm prior to the October 26, 2021 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.

Please visit our website at http://www.gme-law.com for more information about the firm.