Faruqi & Faruqi Investigates PepGen, Inc. Securities Class Action

Strategic Insights -

A federal securities class action has been filed against PepGen Inc. ("PepGen" or the "Company") (NASDAQ: PEPG), alleging that the Company and its executives made false and/or misleading statements regarding the efficacy and safety of its PGN-EDO51 treatment for Duchenne Muscular Dystrophy (DMD). The complaint alleges that the Company's public statements were materially false and misleading at all relevant times, resulting in significant losses for investors.

Key Takeaways:

  • The complaint alleges that PepGen and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose several key issues, including the lesser effectiveness and safety of PGN-EDO51, the deficiencies in the CONNECT2 study, and the risks posed to patients in the CONNECT2 study.
  • The Company's stock price fell significantly after each of a series of press releases that disclosed safety concerns and the FDA's clinical hold notice on the IND application for the CONNECT2 study.
  • Investors who purchased or acquired PepGen securities between March 7, 2024 and March 3, 2025 are encouraged to contact Faruqi & Faruqi partner James (Josh) Wilson to discuss their options.
  • The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class, and any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice.
  • Faruqi & Faruqi encourages anyone with information regarding PepGen's conduct to contact the firm, including whistleblowers, former employees, shareholders, and others.

Statistics:

  • The Company's stock price fell $5.55 per share, or 32.69%, to close at $11.43 per share on July 31, 2024 after a decrease in dystrophin increase was noted by a Stifel analyst.
  • The stock price fell $0.17 per share, or 3.63%, to close at $4.51 per share on December 16, 2024 after the FDA's clinical hold notice for the IND application.
  • The Company's stock price fell $0.40 per share, or 21.74%, to close at $1.44 per share on January 30, 2025 after disclosures regarding safety concerns.
  • The stock price fell $0.53 per share, or 18.86%, to close at $2.28 per share on March 4, 2025 after the announcement of a voluntary pause of the CONNECT2 study.

Sources:

  • Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson
  • Newsfile Corp. - July 22, 2025
  • Stifel analyst
  • Leerink Partners analyst
  • PepGen Inc. press releases dated July 30, 2024, December 16, 2024, January 29, 2025, and March 4, 2025