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Spero Therapeutics, Inc. Class Action Lawsuit - SPRO

Company Name
Spero Therapeutics, Inc.
Stock Symbol
SPRO
Class Period
October 28, 2021 to May 2, 2022
Motion Deadline
July 25, 2022
Court
Eastern District of New York
28 days left to seek lead plaintiff status

Case Summary

The Spero Therapeutics class action lawsuit seeks to represent purchasers or acquirers of Spero Therapeutics, Inc. (NASDAQ: SPRO) securities between October 28, 2021 and May 2, 2022, inclusive (the “Class Period”).  The Spero Therapeutics class action lawsuit – captioned Germond v. Spero Therapeutics, Inc., No. 22-cv-03125 (E.D.N.Y.) – charges Spero Therapeutics and certain of its top executive officers with violations of the Securities Exchange Act of 1934.

If you suffered substantial losses and wish to serve as lead plaintiff of the Spero Therapeutics class action lawsuit, please provide your information by clicking here.  You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at jsanchez@rgrdlaw.com.  Lead plaintiff motions for the Spero Therapeutics class action lawsuit must be filed with the court no later than July 25, 2022.

CASE ALLEGATIONS: On October 28, 2021, Spero Therapeutics announced that it had submitted a New Drug Application (“NDA”) to the U.S. Food and Drug Administration (“FDA”) for Tebipenem HBr for the Treatment of Complicated Urinary Tract Infections including Pyelonephritis (the “Tebipenem HBr NDA”).

But as the Spero Therapeutics class action lawsuit alleges, throughout the Class Period, defendants made false and misleading statements and failed to disclose that: (i) the data submitted in support of the Tebipenem HBr NDA were insufficient to obtain FDA approval; (ii) accordingly, it was unlikely that the FDA would approve the Tebipenem HBr NDA in its current form; (iii) this would necessitate a significant workforce reduction and restructuring of Spero Therapeutics’ operations; and (iv) as a result, Spero Therapeutics’ public statements were materially false and misleading at all relevant times.

On March 31, 2022, Spero Therapeutics disclosed that the FDA “has notified Spero that, as part of its ongoing review of Spero’s New Drug Application (NDA) for tebipenem HBr, it has identified deficiencies that preclude discussion of labeling and post-marketing requirements/commitments at this time.”  On this news, Spero Therapeutics’ stock price fell by more than 18%.

Then, on May 3, 2022, Spero Therapeutics announced “that it will immediately defer current commercialization activities for tebipenem HBr based on feedback from a recent Late Cycle Meeting (LCM) with the U.S. Food and Drug Administration (FDA) regarding Spero’s New Drug Application (NDA) for tebipenem HBr,” and that, “[a]lthough the review is still ongoing and the FDA has not yet made any final determination regarding approvability, the discussion suggested that the data package may be insufficient to support approval during this review cycle.”  Spero Therapeutics further disclosed that, “[i]n connection with this development, Spero announced that it is undertaking a reduction in its workforce by approximately 75% and a restructuring of its operations to reduce operating costs and reallocate resources.”  On this news, Spero Therapeutics’ stock price fell by more than 63%, further damaging investors.

THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Spero Therapeutics securities during the Class Period to seek appointment as lead plaintiff.  A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class.  A lead plaintiff acts on behalf of all other class members in directing the class action lawsuit.  The lead plaintiff can select a law firm of its choice to litigate the class action lawsuit.  An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.

ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: Robbins Geller Rudman & Dowd LLP is one of the world’s leading complex class action firms representing plaintiffs in securities fraud cases.  The Firm is ranked #1 on the 2021 ISS Securities Class Action Services Top 50 Report for recovering nearly $2 billion for investors last year alone – more than triple the amount recovered by any other plaintiffs’ firm.  With 200 lawyers in 9 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig.

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