Abraham, Fruchter & Twersky, LLP announces that a class action lawsuit has been filed in the United States District Court for the District of Massachusetts on behalf of all persons or entities who purchased the common stock of OvaScience, Inc. (“OVAS” or the “Company”)(NASDAQ:OVAS) between February 25, 2013 through September 10, 2013 (the “Class Period”). The complaint alleges violations of Section 10(b) and 20(a) of the Securities and Exchange Act of 1934 and Rule 10b-5, promulgated thereunder, against the Company and certain of its officers and directors for making false and misleading statements to the investing public regarding their business and operations.
The complaint alleges that during the Class Period, the Company made false representations to the U.S. Food and Drug Administration (the “FDA”) and investors that it believed AUGMENT (autologous germline mitochondria energy transfer), OVAS’ patented technology to treat infertility due to poor egg quality, would qualify for designation as a 361 HCT/P, which would allow AUGMENT to be tested and marketed without FDA licensure. The Company, without waiting for a reply from the FDA regarding designation, started their first human trial in the beginning of the year.
On September 10, 2013, the Company announced that it received an untitled letter from the FDA questioning the status of AUGMENT as a 361 HCT/P. The Company was further advised to file an Investigational New Drug Application before it could continue with its first human trial. Upon this news, OVAS shares fell from $14.28 per share on September 10, 2013 to close at $10.95 per share on September 11, 2013, representing a 23% drop on abnormally high volume.
If you purchased the common stock of OVAS between February 25, 2013 through September 10, 2013 and would like to serve as lead plaintiff in this action, you must move the Court no later than November 15, 2013. Any member of the proposed class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain a member of the proposed class.
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