Shattuck Labs, Inc. (STTK) Made False and Misleading Statements in its Offering Documents
A shareholder filed a class action on behalf of all persons or entities who purchased or otherwise acquired Shattuck Labs, Inc. (NASDAQ: STTK) securities in connection with the Company’s October 2020 initial public offering (“IPO”) or between October 9, 2020 and November 9, 2021. The complaint alleges violations of the Securities Act of 1933 and Securities Exchange Act of 1934. Shattuck is a clinical-stage biotechnology company pioneering a new class of biologic medicine for the treatment of cancer and autoimmune disease.
According to the complaint, Shattack conducted its IPO on October 9, 2020, offering approximately 13,664,704 shares at $17.00 per share. The Registration Statement in support of the IPO emphasized the importance of Shattuck’s August 8, 2017 collaboration agreement with Millennium Pharmaceuticals, Inc., or Takeda, a wholly owned subsidiary of Takeda Pharmaceutical Company, Ltd. However, defendants failed to disclose that the collaboration agreement was not solid and Takeda and Shattuck would “mutually agree” to terminate the agreement in a year. As a result, Shattuck would cease to receive any future milestone, royalty, or other payments from Takeda.
On November 9, 2021, just a year after its IPO, Shattuck announced the termination of the collaboration agreement. On this news, the Company’s stock price fell $5.45 per share, or 28%, to close at $13.59 per share on November 9, 2021. The stock continued to decline, and as of the date of the filing of the class action, the stock traded at just $6.13 per share.
If you purchased shares of Stattuck Labs, Inc. (STTK) in connection with the Company’s October 2020 IPO or between October 9, 2020 and November 9, 2021, you have until April 1, 2022, 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.