Gossamer Bio, Inc.
The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Southern District of California on behalf of those who acquired Gossamer Bio, Inc. (“Gossamer” or the “Company”) (NASDAQ: GOSS) securities during the period from February 8, 2019 through December 13, 2019 (the “Class Period”) and/or pursuant and/or traceable to the Company’s February 8, 2019 Initial Public Offering (“IPO”). Investors have until June 2, 2020 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
In the materials accompanying the IPO and throughout the Class Period, the Company failed to disclose to investors: (i) the reasons for Gossamer’s GB001 trial failures; and (ii) the purported clinical validation of the oral DP2 antagonist of its competitor, Novartis.
In the IPO, Gossamer and the underwriters sold 19,837,500 shares of common stock at an initial public offering price of $16.00 per share, for a total offering price of $317.4 million.
The Company’s lead drug, GB001, is an oral antagonist of prostaglandin D2 receptor 2, or DP2, in development for the treatment of moderate-to-severe eosinophilic asthma and other allergic conditions. Gossamer’s GB001 product is in Phase 2 development for asthma and rhinosinusitis.
On December 16, 2019, Gossamer’s competitor Novartis announced that it was terminating the development of its DP2 antagonist fevipiprant for asthma after it failed another pair of Phase 3 clinical trials. Analysts noted that, “[f]or Gossamer, detailed data from fevipiprant would likely weight heavily on GB001, its lead drug in the same class.” On this news, Gossamer’s stock price fell $9.41 per share, or 37.1%, to close at $15.96 on December 16, 2019.
If you acquired Gossamer securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600, by email at firstname.lastname@example.org, or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.