Are you a former employee of Gossamer Bio, Inc. (GOSS) and own stock in the company? Robbins LLP is investigating breaches of fiduciary duty by the officers and board of directors of GOSS.
Gossamer Bio, Inc. (GOSS) Accused of Misleading Shareholders
According to the complaint against the Company for alleged violations of the Securities Exchange Act of 1934 between February 8, 2019 and December 13, 2019, Gossamer Bio, Inc. (GOSS) held its IPO offering approximately 17.25 million shares at $16.00 per share and raising $256 million in proceeds. In Gossamer’s IPO offering materials, the Company claimed that GB001 had not met its primary endpoint for improvement in a phase 2 trial due to “study design and execution issues related to patient selection” and assured that Novartis, who had a product like GB001, had a successful phase 2 trial that clinically validated DP2 antagonism. Gossamer maintained these statements throughout the class period, allowing its stock to trade as high as $27.15 per share. However, on December 16, 2019, Novartis announced it was terminating the development of its similar DP2 antagonist drug for asthma after it failed a pair of phase 3 clinical trials. On this news, Gossamer’s stock plummeted 37% to close at $15.96 per share. The stock has yet to recover.