Pomerantz LLP was appointed Lead Counsel in a class action lawsuit against Esperion Therapeutics, Inc. (“Esperion” or the “Company”) and certain of its officers. The class action, filed in United States District Court, Eastern District of Michigan, and docketed under 18-cv-11438, is on behalf of a class consisting of investors who purchased or otherwise acquired Esperion securities between February 22, 2017 and May 1, 2018, both dates inclusive (the “Class Period”), seeking to recover damages caused by Defendants’ violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder, against the Company and certain of its top officials.
Esperion is a biopharmaceutical company that is primarily focused on the research and development of oral and small molecule therapies for the treatment of patients with elevated levels of low-density lipoprotein cholesterol and other cardio metabolic risk factors. Bempedoic acid and its lead product candidate, the bempedoic acid / ezetimibe combination pill, are targeted therapies focused on reducing elevated LDL-C levels in patients with hypercholesterolemia. The Company owns the exclude worldwide rights to bempedoic acid.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Esperion’s cholesterol-lowering medication, bempedoic acid, entailed serious undisclosed safety risks, including death; and (ii) as a result of the foregoing, Esperion’s public statements were materially false and misleading at all relevant times.
On May 2, 2018, Esperion announced results from its second pivotal Phase 3 study for its cholesterol-lowering medication. Esperion reported that while the trial met the primary endpoint of safety and tolerability and the key efficacy endpoint, there were 13 deaths in the treatment group compared to only two in the control group.
On this news, Esperion’s share price fell $24.75, or 35.10%, to close at $45.75 on May 2, 2018.