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Gainey McKenna & Egleston Announces A Class Action Lawsuit Has Been Filed Against Allakos Inc. (ALLK)

NEW YORK, March 11, 2020 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Allakos Inc. (“Allakos” or the “Company”) (ALLK) in the United States District Court for the Northern District of California on behalf of those who purchased or acquired the securities of Allakos between August 5, 2019 and December 17, 2019, inclusive (the “Class Period”).  The lawsuit seeks to recover damages for Allakos investors under the federal securities laws.

The Complaint alleges Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company’s ENIGMA Trial  for its flagship drug, AK002, was poorly designed;  (ii) the Company cherrypicked timeframes and to engineer results for the ENIGMA trial; (iii) the Company used superficial endpoints in the ENIGMA Trial relative to FDA guidance; (iv) the Company misrepresented the number of adverse incidents that occurred during the ENIGMA Trial; (v) the ENIGMA Trial was not well-controlled; (vi) the Company failed to report key data from the ENIGMA Trial; and (vii) as a result, Defendants’ statements about the Company’s business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.  When the true details entered the market, the lawsuit claims that investors suffered damages.

Investors who purchased or otherwise acquired shares of Allakos during the Class Period should contact the Firm prior to the May 11, 2020 lead plaintiff motion deadline.  A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.  If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.

Please visit our website at http://www.gme-law.com for more information about the firm.