Ardelyx Inc. (ARDX) Made Misleading Statements in its Registration Statement in Connection with its Initial Public Offering
Defendants submitted a New Drug Application (NDA) to the U.S. Food and Drug Administration (FDA) for tenapanor in June 2020. The FDA accepted the NDA in September 2020 and set a Prescription Drug User Fee Act date of April 29, 2021. During the relevant period, the Company touted the efficacy of tenapanor and its “positive” clinical trial results that showed “improvements” over current treatments and reinforced its “potential” as a “transformative” treatment. Then, on July 19, 2021, Ardelyx announced that it had received a letter from the FDA, dated July 13, 2021, that said the FDA detected issues with both the size and clinical relevance of the drug’s treatment effect. On this news, analysts cut their price targets and downgrade the Company’s rating. Ardelyx’s share price fell 74% in one day, to close at $2.01 per share on July 20, 2021, before falling again on July 21, 2021. The stock has yet to recover.
If you purchased shares of Ardelyx Inc. (ARDX) between August 6, 2020 and July 19, 2021, you have until September 28, 2021, to ask the court to appoint you lead plaintiff for the class.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.