NEW YORK, Nov. 22, 2017 /PRNewswire/ — Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Novan, Inc. (“Novan” or the “Company”) (NASDAQ: NOVN) of the January 2, 2018 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in Novan stock or options pursuant and/or traceable to Novan’s Registration Statement and Prospectus, issued in connection with the Company’s initial public offering on or about September 26, 2016 (the “IPO”) and/or between September 26, 2016 and January 26, 2017 (the “Class Period”) and would like to discuss your legal rights, click here: www.faruqilaw.com/NOVN. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to email@example.com.
FARUQI & FARUQI, LLP
685 Third Avenue, 26th Floor
New York, NY 10017
Attn: Richard Gonnello, Esq.
Telephone: (877) 247-4292 or (212) 983-9330
The lawsuit has been filed in the U.S. District Court for the Middle District of North Carolina on behalf of all those who purchased Novan securities pursuant and/or traceable to the IPO and/or throughout the Class Period. The case, Miriyala v. Novan, Inc. et al, No. 1:17-cv-00999 was filed on November 3, 2017.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by making materially false and/or misleading statements in the IPO Registration Statement, Prospectus, and throughout the Class Period regarding the Company’s business and outlook specifically regarding the Company’s lead product candidate SB204, a topical gel that targets multiple mechanisms of action for the treatment of acne vulgaris.
Specifically, on January 27, 2017, Novan announced the top-line results of its two Phase 3 clinical trials of SB204. Although the drug hit its goals in one of the trials, it failed to beat a placebo in the other separate Phase 3 study. Then, on June 5, 2017, Novan announced that it was replacing its Chief Executive Officer and co-founder, and that it was laying off 20% of its workforce. Then, on August 2, 2017, the Company disclosed that it would be retreating further from SB204, stating that Novan’s “[p]rimary clinical focus over the next 24 months” would be “antiviral clinical work in EGW and Molluscum” and that the “[a]cne indication and path forward [would] be largely driven by regulatory clarity.”
As a result of these