Overview

• Acelyrin, Inc. is facing a securities class action lawsuit for alleged violations of federal securities laws, including omissions and fraudulent misrepresentations relating to the company's business, operations, and prospects.
• The lawsuit stems from Acelyrin's announcement of disappointing results from a Phase 2b/3 trial of its lead drug candidate, izokibep, which failed to show significant reduction in abscesses and inflammatory nodules in patients compared to placebo.
• Following the announcement, Acelyrin's stock price fell significantly, causing substantial losses for investors.
• Further compounding the issue, Acelyrin later revealed that the Contract Research Organization hired to run the izokibep trials had incorrectly programmed the testing protocol, resulting in a sequencing error.
• Investors have until January 16, 2024, to move the Court to serve as lead plaintiff for the class.