SAN DIEGO & WALTHAM, Mass.--(BUSINESS WIRE)--Shareholder rights law firm Robbins Arroyo LLP announces that a class action complaint was filed against OvaScience, Inc. (NasdaqGM: OVAS) on behalf of all purchasers of OvaScience securities pursuant to the company's secondary offering on January 8, 2015 (the "Offering"), for alleged violations of the Securities Act of 1933 by OvaScience officers and directors. OvaScience, a fertility company, discovers, develops, and commercializes fertility treatment options for women worldwide.
View this information on the law firm's Shareholder Rights Blog:
OvaScience Is Accused of Filing Misleading Registration Statement
According to the complaint, OvaScience sold 2,300,000 shares of common stock for $50 per share on January 8, 2015. In connection with the Offering, OvaScience represented in its Registration Statement that AUGMENT, a procedure developed by OvaScience founders, would greatly improve egg quality and enhance the in vitro fertilization ("IVF") process. Both before and after the Offering, OvaScience officials touted the high success rates of IVF with AUGMENT, citing numerous studies and congratulating themselves on the revenue this program would generate in the near future. In fact, officials stated in the Offering materials that they expected to enroll 1,000 AUGMENT patients in 2015 and that they would generate revenue. However, the complaint alleges that OvaScience issued untrue statements and failed to disclose that the very science behind AUGMENT was untested and in doubt. Furthermore, the patients who actually received OvaScience's AUGMENT procedure in 2014 did not have a higher success rate for pregnancy than the rate achieved without the procedure. In addition, on September 28, 2015, the company issued a press release announcing their inability to meet the 2015 goal of 1,000 AUGMENT treatment cycles. Since the inefficacy of AUGMENT has come to light, Ovascience stock has fallen drastically – over 97% since the Offering.
OvaScience Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leonid Kandinov at (800) 350-6003, LKandinov@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
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