Scott+Scott Attorneys at Law LLP Files Securities Class Action Against Kyverna Therapeutics, Inc. (NASDAQ: KYTX)
NEW YORK – Scott+Scott Attorneys at Law LLP (“Scott+Scott”), an international shareholder and consumer rights litigation firm, has filed a securities class action lawsuit in the United States District Court for the Northern District of California against Kyverna Therapeutics, Inc. (“Kyverna” or the “Company”) (NASDAQ: KYTX), certain directors and officers, and the underwriters of Kyverna’s February 8, 2024 initial public offering (“IPO”), alleging violations of §§11, 12 and 15 of the Securities Act, 15 U.S.C. §§ 77k, 77l(a)(2), and 77o. The class action filed by Scott+Scott is captioned: Rondini v. Kyverna Therapeutics, Inc., et al, Case No. 3:24-cv-08869.
Kyverna is a clinical-stage biopharmaceutical company focused on developing cell therapies for patients suffering from autoimmune diseases. The Company’s lead product candidate is KYV-101. According to the Complaint, the registration statement and prospectus used to effectuate the Company’s IPO misstated and/or omitted facts concerning the results of the Company’s ongoing evaluation of KYV-101 in clinical trials. Specifically, the Company touted patient “improvement” in certain indicators while failing to disclose adverse data regarding one of Kyverna’s trials, which adverse data was known to the Company at the time of the IPO. As a result, investors purchased Kyverna shares at artificially inflated prices.
“The complaint alleges that Kyverna’s executives knew that the company possessed adverse data regarding one of its clinical trials. Additionally, the company did not adequately describe risk factors related to the trials and withheld critical data about negative test results, which ultimately led to the drop of its share price significantly harming investors,” Scott+Scott Partner John Jasnoch said.
As these true facts emerged after the Offering, the Company’s shares fell sharply, severely harming investors. By the commencement of this action, Kyverna’s shares traded as low as $3.92 per share, a decline of more than 82% from the Offering Price.
Lead Plaintiff Deadline
The Lead Plaintiff deadline in this action is February 7, 2024. Any member of the proposed Class may seek to serve as Lead Plaintiff through counsel of their choice, or may choose to do nothing and remain a member of the proposed Class.
What You Can Do
If you purchased Kyverna common stock pursuant and/or traceable to the Company’s IPO, or if you have questions about this notice or your legal rights, you are encouraged to contact attorney Nicholas Bruno at (888) 398-9312or [email protected].