NEW YORK, NY / ACCESSWIRE / June 24, 2024 / Bronstein, Gewirtz & Grossman, LLC, a nationally recognized law firm, notifies investors that a class action lawsuit has been filed against Marinus Pharmaceuticals, Inc. ("Marinus" or "the Company") (NASDAQ:MRNS) and certain of its officers.
Class Definition:
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Marinus securities between March 17, 2021 and May 7, 2024, inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/MRNS.
Case Details:
According to the Complaint, Marinus describes itself as a "commercial-stage pharmaceutical company dedicated to the development of innovative therapeutics for the treatment of seizure disorders, including rare genetic epilepsies and status epilepticus, which includes the use of ZTALMY® (ganaxolone)."
The Complaint alleges that Marinus made materially false and/or misleading statements regarding its Randomized Therapy in Status Epilepticus (RAISE) trial, which the Company described as a "pivotal Phase 3 trial in refractory status epilepticus (RSE) patients." Specifically, the Company made false and/or misleading statements and/or failed to disclose that:
(1) Marinus understated the risk of failure to meet the early-stopping criteria in the RAISE trial;
(2) Marinus did not disclose that a possible consequence of failing to meet the early stopping criteria in the RAISE trial would be that Marinus would stop the separate Phase 3 RAISE II trial; and
(3) as a result, Marinus' statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all times.
On April 15, 2024, according to the Complaint, before the market opened, Marinus issued a press release entitled "Marinus Pharmaceuticals Provides Update on the Phase 3 RAISE Trial and Reports Preliminary First Quarter 2024 Financial results." (the "April 15 Announcement"). The April 15 Announcement revealed that the RAISE trial had not met early stopping criteria and also that the Company would implement cost-saving measures.
On this news, the price of Marinus stock fell $6.22 per share, or 82.7%, to close at $1.30 per share on April 15, 2024. The next day, the price of Marinus stock fell a further7.69% to close at $1.20 on April 16, 2024.
Then, on May 8, 2024, according to the Complaint, before the market opened, the Company filed with the SEC a current report on Form 8-K. In a press release attached to this Form 8-K, the Company announced cost cutting measures including:
(1) stopping clinical trial enrollment in the RAISE and RAISE II trials;
(2) stopping the Phase 3 Raise II trial in RSE;
(3) reducing the Company's workforce by approximately 20%; and
(4) increasing overall efficiency of the Company's operations through other operational changes.
During market hours on May 8, 2024, Fierce Biotech published an article entitled "Marinus lays of 20% of staff to steady ship after IV seizure med's phase 3 struggles," which illustrated the impact on the Company of the failure to meet the early stopping criteria in the RAISE trial.
On this news, the price of Marinus stock fell $0.14 per share, or 8.91%, to close at $1.43 on May 8, 2024.
Therefore, the Complaint alleges that as a result of Marinus' wrongful acts and omissions, and the precipitous decline in the market value of the Company's common shares, investors have suffered significant losses and damages.
What's Next?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/MRNS or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 332-239-2660. If you suffered a loss in Marinus you have until August 5, 2024, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
There is No Cost to You
We represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman:
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide.
Attorney advertising. Prior results do not guarantee similar outcomes.
Contact:
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Nathan Miller
332-239-2660 | [email protected]
SOURCE: Bronstein, Gewirtz & Grossman, LLC