New York, New York--(Newsfile Corp. - September 24, 2020) - Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in NextCure, Inc. ("NextCure" or the "Company") (NASDAQ: NXTC) of the November 20, 2020 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in NextCure stock or options between November 5, 2019 and July 14, 2020 and would like to discuss your legal rights, click here:www.faruqilaw.com/NXTC. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll freeat 877-247-4292 or at 212-983-9330 or by sending an e-mail email@example.com.
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Attn: Richard Gonnello, Esq.
Telephone: (877) 247-4292 or (212) 983-9330
A lawsuit has been filed in the U.S. District Court for the Southern District of New York on behalf of all those who purchased NextCure securities between November 5, 2019 and July 14, 2020 (the "Class Period"). The case, Zhou v. NextCure, Inc. et al, No. 20-cv-07772 was filed on September 21, 2020 and has been assigned to Judge Laura Taylor Swain.
As detailed below, the lawsuit focuses on whether the Company and its executives violated federal securities laws by misleading investors regarding its leading treatment candidate, NC318, which was a first-in-class immunomedicine targeting a novel immunomodulatory receptor, called Siglec-15, or S15, particularly in patients with advanced or metastatic solid tumors. Rather than reveal the truth, Defendants touted results that appeared positive early on November 5, 2019, causing the Company's stock to explode 250% higher, and before initiating a public offering on November 15, 2019, that generated nearly $150 million in gross proceeds from the investing public.
Specifically, NextCure had been developing NC318 using proceeds from a 2018 research and development collaboration agreement with Eli Lilly and Company ("Eli Lilly"). On January 13, 2020, in a current report filed on Form 8-K with the SEC, NextCure quietly announced that Eli Lilly had ended its deal with the Company.
Following this news, NextCure's stock plunged, falling $4.70 per share, or approximately 8.29%, to close at $52.00 per share on January 13, 2020.
Then, pre-market on July 13, 2020, NextCure made a shocking admission. Specifically, in a press release entitled, "NextCure provides an Interim update of the Phase 2 Portion of the NC318 Monotherapy Phase 1/2 Trial and Announces Departure Chief Medical Officer," NextCure announced that the Company was no longer planning to "advance the nonsmall cell lung cancer (NSCLC) and ovarian cancer cohorts in the stage 2 portion of the Simon 2- stage trial," citing "clinical response data" and "current enrollment criteria."
The July 13, 2020 announcement continued, stating, in relevant part, "The analysis of biomarker data for these cohorts has been delayed and is not yet complete. The company will evaluate whether to pursue additional monotherapy studies in NSCLC and ovarian cancer after a review of that information." NextCure also announced that Defendant Heller was resigning to pursue a new opportunity.
On this news, NextCure's shares, which had closed at $17.88 per share on July 10, 2020, dropped over 54% the next trading day to close at $8.15 per share on July 13, 2020, on unusually high trading volume.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding NextCure's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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