Silverback Therapeutics, Inc. (SBTX) Misled Investors Regarding its Lead Product Candidate
A class action was filed on behalf of all persons and entities that purchased Silverback Therapeutics, Inc. (NASDAQ: SBTX) securities (i) pursuant to the Company’s December 2020 initial public offering (“IPO”) or (ii) between December 3, 2020 and September 10, 2021. The complaint alleges violations of the Securities Act of 1933 and Securities Exchange Act of 1934. Silverback is a clinical-stage biopharmaceutical company that develops tissue-targeted therapeutics. Its lead product candidate is SBT6050, which is in a Phase I/Ib clinical trial.
According to the complaint, Silverback began trading on the NASDAQ on December 3, 2020, issuing 11.5 million shares of common stock at $21.00 per share. The Offering Documents, however, were negligently prepared and contained materially misleading statements. Specifically, the Offering Documents failed to disclose that SBT6050 was less effective than the Company had represented to investors and the Company had therefore overstated SBT6050’s commercial and/or clinical prospects.
On September 13, 2021, Silverback issued a press release “announc[ing] that interim data from the dose-escalation portion of its Phase 1/1b clinical trial evaluating SBT6050 as a monotherapy and in combination with pembrolizumab in patients with advanced or metastatic HER2-expressing or amplified solid tumors” showed that “while there was a manageable safety profile for the Company’s experimental therapy, SBT6050 yielded only one partial response among 14 HER2-positive solid tumors.” On this news, Silverback’s stock price fell $4.54 per share or over 23%, to close at $14.90 per share on September 13, 2021.
If you purchased shares of Silverback Therapeutics, Inc. (SBTX) securities pursuant to the Company’s IPO or between December 3, 2020 and September 10, 2021, you have until January 4, 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.