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Securities law

Faruqi & Faruqi Investigates PepGen, Inc. Securities Class Action

Strategic Insights

— 1 min read

The law firm Faruqi & Faruqi is investigating potential claims against PepGen Inc. (NASDAQ: PEPG), a biotechnology company, and its executives for alleged violations of federal securities laws. The investigation follows a federal securities class action filed against the company, alleging that PepGen and its executives made false and/or misleading statements and/or failed to disclose critical information about its flagship programs. The complaint alleges that the company's executives concealed concerns regarding the safety and effectiveness of PGN-EDO51, a key program, and the CONNECT2 study, which was halted due to FDA concerns.

Key Takeaways:

  • The complaint alleges that PepGen and its executives made false and/or misleading statements about PGN-EDO51's safety and effectiveness, and the CONNECT2 study's prospects.
  • The company's stock price fell significantly after the release of critical safety and efficacy data, with a decline of $5.55 per share, or 32.69%, on July 31, 2024, and a decline of $0.40 per share, or 21.74%, on January 30, 2025.
  • The FDA issued a clinical hold notice on December 16, 2024, indicating concerns regarding risks posed to patients in the CONNECT2 study.
  • PepGen's stock price fell $0.53 per share, or 18.86%, on March 4, 2025, after the company announced its decision to temporarily pause the CONNECT2 study.
  • 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.
  • Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice or choose to do nothing and remain an absent class member.
  • Douglas M. Wilson, Jr. of Faruqi & Faruqui is investigating potential claims against PepGen and its executives.
  • Faruqi & Faruqi has recovered hundreds of millions of dollars for investors since its founding in 1995.

Statistics:

  • The decline in PepGen's stock price was $5.55 per share, or 32.69%, on July 31, 2024.
  • The decline in PepGen's stock price was $0.40 per share, or 21.74%, on January 30, 2025.
  • PepGen's stock price fell $0.53 per share, or 18.86%, on March 4, 2025.
  • PepGen's stock price fell $0.17 per share, or 3.63%, on December 16, 2024.

Sources:

  • Faruqi & Faruqi, LLP (Attorney Advertising)
  • GlobeNewswire (July 25, 2025)
  • SEC filing (no specific filing number mentioned)

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