Pomerantz Law Firm Announces Class Action Filing Against Homology Medicines, Inc. and Certain Executives

NEW YORK, March 25, 2022 /PRNewswire/ — Pomerantz LLP announces that a class action lawsuit has been filed against Homology Medicines, Inc. (“Homology” or the “Company”) (NASDAQ: FIXX) and certain of its officers. The class action, filed in United States District Court of the Central District of Californiaand registered under number 22-cv-01968, is on behalf of a class consisting of all persons and entities other than defendants who have purchased or otherwise acquired Homology securities between June 10, 2019 and February 18, 2022both dates inclusive (the “Class Period”), seeking to recover damages caused by Defendants’ violations of federal securities laws and to pursue remedies under Sections 10(b) and 20(a). ) of the Securities Exchange Act of 1934 (the “Exchange Act”) and rule 10b-5 promulgated thereunder, against the Company and certain of its principal officers.

If you are a shareholder who purchased or otherwise acquired Homology securities during the Class Period, you have until May 24, 2022 ask the court to name you as the lead plaintiff for the class. A copy of the complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at [email protected] or 888.476.6529 (or 888.4-POMLAW), toll-free, Ext. 7980. Those making inquiries by e-mail are encouraged to include their mailing address, phone number and number of shares purchased.

[Click here for information about joining the class action]

Homology, a genetic medicine company, is focused on transforming the lives of patients with rare genetic diseases. The Company’s lead product candidate is HMI-102, which is in a Phase I/II clinical trial of pheNIX, a gene therapy for the treatment of phenylketonuria (PKU) in adults (the “HMI-102 Trial”) ).

At June 10, 2019Homology issued a press release announcing that it had commenced enrollment of the HMI-102 trial.

The Complaint alleges that throughout the Class Period, the Defendants made materially false and misleading statements regarding the company’s business, operations and compliance policies. Specifically, the defendants made false and/or misleading statements and/or failed to disclose that: (i) the company overestimated the efficacy and risk mitigation of the HMI-102; (ii) therefore, it was unlikely that the Company would be able to market the HMI-102 in its current form; and (iii) as a result, the Company’s public statements were materially false and misleading at all material times.

At July 21, 2020, Mariner Research (“Mariner”) has released a report questioning claims made by Homology and its executives regarding the efficacy of HMI-102, the company’s lead product candidate for the treatment of phenylketonuria. Mariner focused on Homology’s HMI-102 dose escalation pheNIX trial, concluding that the company had covered up data showing the lack of efficacy of HMI-102 and indicating that it was unlikely that the program goes to commercialization. Among other pieces of evidence, Mariner cited an email from Homology’s director of communications that seemed to indicate that the company was aware that a patient on a high dose of HMI-102 had reported the adverse efficacy issue in a post on social media during April 2020.

On this news, Homology stock price plummeted $1.71 per share, i.e. 10.38%, over the following three trading sessions, closing at $14.77 per share on July 24, 2020.

Then, on February 18, 2022Homology issued a press release revealing that “The United States Food and Drug Administration has informed the Company that its pheNIX gene therapy trial of HMI-102 in adults with phenylketonuria has been placed on clinical hold due to the need to modify the risk mitigation measures in the study in response to observations of elevated liver function tests” and that “[t]The company expects to receive a formal clinical expectation letter within 30 days.”

On this news, Homology stock price plummeted $1.26 per share, or 32.64%, to close at $2.60 per share on February 22, 2022.

Pomerantz LLP, with offices in new York, Chicago, Los Angeles, Parisand Tel Aviv, is recognized as one of the leading law firms in the areas of corporate litigation, securities and antitrust. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues the tradition he established, fighting for the rights of victims of securities fraud, breaches of fiduciary duty and corporate misconduct. The firm recovered numerous multimillion-dollar damages on behalf of class members. To see www.pomlaw.com

CONTACT:
Robert S. Willoughby
Pomerantz LLP
[email protected]
888-476-6529 ext. 7980

SOURCE Pomerantz LLP