Lawsuit Overview - BioAge Labs is facing a class-action lawsuit from shareholders alleging the company misled investors about the safety and prospects of its key drug candidate, azelaprag, before its IPO [1][2] - The lawsuit claims BioAge's IPO offering documents contained "materially false and/or misleading" statements regarding the STRIDES Phase 2 clinical trial for azelaprag [2] - The company raised $227.7 million by selling 12.65 million shares at $18 each in its September 2024 IPO [2] Clinical Trial Issues - BioAge presented the STRIDES trial as free of safety concerns and predicted positive results, but halted the trial in December 2024 after participants experienced elevated liver enzymes [3] - The trial discontinuation caused BioAge's stock to plummet over 76%, dropping from the $18 IPO price to around $5.82 per share [4] Legal Allegations - Shareholders accuse BioAge and certain executives of violating the Securities Act of 1933 by making false statements in IPO documents [4] - The close timing between the IPO and trial discontinuation raises questions about the company's pre-IPO disclosures [5] Financial Impact - BioAge's stock price dropped significantly following the trial discontinuation announcement, with shares trading around $5.82 compared to the $18 IPO price [4]
BioAge Labs (BIOA) Shares Plummet After Discontinuing Trial Just 2 Months After IPO– Hagens Berman