NEW YORK, June 22, 2018 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C. announces that a class action lawsuit has been filed in the U.S. District Court for the Southern District of New York on behalf of all persons or entities who purchased or otherwise acquired Flex Pharma, Inc. (NASDAQ:FLKS) securities between November 6, 2017 and June 12, 2018 (the “Class Period”). Investors have until August 20, 2018 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
The complaint alleges that during the Class Period, members of the Board made materially false and misleading statements and/or failed to disclose adverse information regarding Flex’s business and prospects. Specifically, defendants misrepresented and/or failed to disclose the following adverse facts, among others: (i) Flex Pharma overstated the viability and approval prospects for its product candidate FLX-787 for the treatment of ALS and CMT; and (ii) as a result, Flex Pharma's public statements were materially false and misleading at all relevant times.
On June 13, 2018, Flex Pharma announced that it planned to halt both the COMMEND and the COMMIT trials. Flex Pharma further announced that the Company will restructure its organization to reduce costs, including reducing its workforce by approximately 60%, and that Flex Pharma's Board is exploring "strategic alternatives, including the potential sale or merger of the company." Following this news, Flex Pharma's share price fell $3.14, or 75.12%, to close at $1.04 on June 13, 2018.
If you purchased Flex Pharma securities during the Class Period or continue to hold shares purchased before the Class Period, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Melissa Fortunato by email at firstname.lastname@example.org, or telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.
Bragar Eagel & Squire, P.C. is a New York-based law firm concentrating in commercial and securities litigation. For additional information concerning the Newell Brands, Inc. lawsuit, please go to https://bespc.com/flks/. For additional information about Bragar Eagel & Squire, P.C., please go to www.bespc.com.