Bragar Eagel & Squire, P.C. Reminds Investors That Class Action Lawsuits Have Been Filed Against RTX, Eos, and Apellis and Encourages Investors to Contact the Firm
News provided byBragar Eagel & Squire
Sep 17, 2023, 9:00 PM ET
NEW YORK, Sept. 17, 2023 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, reminds investors that class actions have been commenced on behalf of stockholders of RTX Corporation (NYSE: RTX), Eos Energy Enterprises (NASDAQ: EOSE), and Apellis Pharmaceuticals, Inc. (NASDAQ: APLS). Stockholders have until the deadlines below to petition the court to serve as lead plaintiff. Additional information about each case can be found at the link provided.
RTX Corporation (NYSE: RTX)
Class Period: February 8, 2021 – July 25, 2023
Lead Plaintiff Deadline: October 2, 2023
On July 25, 2023, Reuters released an article entitled “RTX shares tumble on Pratt & Whitney airliner engine problem,” which reported that “more than 1,000 [GTF] engines must [be] removed from Airbus planes and checked for microscopic cracks.” Reuters further reported that “RTX said it was reducing its 2023 cash-flow forecast by $500 million to $4.3 billion due to the inspections.”
On this news, the price of RTX shares declined by more than 10%, damaging investors.
The RTX class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) the GTF engines had been affected from at least 2015-2020 by a quality control issue; and (ii) this quality control issue would require RTX to recall and reinspect many of its GTF airplanes, affecting customers and harming its business.
For more information on the RTX class action go to: https://bespc.com/cases/RTX
Eos Energy Enterprises (NASDAQ: EOSE)
Class Period: May 9, 2022 – June 27, 2023
Lead Plaintiff Deadline: October 2, 2023
On July 27, 2023, during market hours, Iceberg Research (“Iceberg”) published a report titled “62% Of $Eose’s Backlog Is With Financially Distressed Bridgelink Whose Renewable Energy Assets Were Foreclosed And Auctioned Off In May.” Therein, Iceberg alleged that, while the fate of Eos “rests on its touted 2.2 GWh energy storage system backlog, which EOS valued at $535 million at the end of March 2023,” the backlog “is fake.” Iceberg elaborated that “Bridgelink Commodities, accounts for half of EOS’s backlog by MWh or ~62% ($331 million) of its total dollar value” but that Iceberg “decided to dig into this customer’s background and uncovered a group whose assets were recently seized by a creditor and sold in an auction.” Iceberg added that “[w]e wonder how EOS can still present Bridgelink as a major client” and that “EOS continues to include Bridgelink in its backlog, and is likely to have made the same representations when applying for the Department of Energy loan.” Iceberg concluded that its findings “completely undermine the authenticity of EOS Energy’s promoted backlog.”
On this news, the Company’s stock price fell $0.83 per share, or 23.9%, to close at $2.65 per share on July 27, 2023, on unusually heavy trading volume.
On July 27, 2023, after the market closed, Eos issued a press release titled “Eos Energy Enterprises Provides Preliminary Results & Issues Statement Regarding Its Customer Commitments and Backlog.” Therein, the Company attempted to address the issues that Iceberg identified. Eos stated that “[t]he Company believes that its customer, Bridgelink Commodities, LLC, is a separate legal entity which is not implicated in the legal matters highlighted in today’s statements” and that “[t]his customer, representing 45% of the Company’s backlog, reconfirmed today that it continues to build pipeline and is actively seeking financing for energy storage projects covered by Eos’s multi-year Master Supply Agreement.” Eos also stated that “[t]he Company continues to progress through the Department of Energy (DOE) Loan Programs Office’s (LPO) process for its Title XVII loan and is awaiting a conditional approval decision which may be taking longer due to changes from the recent Interim Final Rule announced in May.”
On this news, the Company’s stock price fell $0.39 per share, or 14.7%, to close at $2.26 per share on July 28, 2023, on unusually heavy trading volume.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that Bridgelink Commodities, LLC (“Bridgelink”) is connected to a group whose assets were seized by a creditor and sold in an auction; (2) that, as such, Bridgelink’s commitment and ability to purchase Eos products was not as secure as Eos had led investors to believe; (3) that, as such, Eos’s backlog was overstated; (4) that such overstatement negatively impacts Eos’s ability to secure a loan from the Department of Energy; and (5) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
For more information on the Eos class action go to: https://bespc.com/cases/EOSE
Apellis Pharmaceuticals, Inc. (NASDAQ: APLS)
Class Period: January 28, 2021 – January 28, 2023
Lead Plaintiff Deadline: October 2, 2023
Apellis is a commercial-stage biopharmaceutical company that focuses on the discovery, development, and commercialization of therapeutic compounds through the inhibition of the complement system for autoimmune and inflammatory diseases.
One of Apellis’s leading therapeutic treatments, “SYFOVRE,” is an intravitreal pegcetacoplan injection that is the first and only approved therapy for geographic atrophy (“GA”), a leading cause of blindness. SYFOVRE is designed to provide comprehensive control of the complement cascade, part of the body’s immune system. In February 2023, SYFOVRE was approved by the U.S. Food and Drug Administration in the United States for the treatment of GA secondary to age-related macular degeneration.
The Class Period begins on January 28, 2021, the day of Apellis’s Virtual Investor Event wherein Apellis gave an online presentation to shareholders titled, “Pegcetacoplan: Advancing the First Potential Treatment for Geographic Atrophy (GA),” which highlighted its ongoing Phase 3 “DERBY and OAKS” clinical trials and its completed Phase 2 “FILLY” clinical trial. In its presentation to shareholders, Apellis touted the efficacy of using pegcetacoplan in patients with GA, including that the Phase 2 FILLY trial showed decreased lesion growth and that safety was “in line with other studies of intravitreally administered agents.”
Throughout the Class Period, Defendants repeatedly represented that SYFOVRE “demonstrated a favorable safety profile” with minimal adverse effects and “no events of retinal vasculitis or retinal vein occlusion” observed.
Notwithstanding Defendants’ claims regarding the safety of SYFOVRE, investors began to learn the truth on July 15, 2023, when the American Society of Retina Specialists (“ASRS”) published a letter highlighting concerns with SYFOVRE. Specifically, the ASRS indicated that physicians have reported cases of eye inflammation in patients treated with SYFOVRE, including six instances of occlusive retinal vasculitis, a type of inflammation that blocks blood flow through the vessels that feed the retina and potentially results in blindness. On this news, the price of Apellis common stock declined $32.04 per share, or nearly 38%, from a close of $84.50 per share on July 14, 2023, to close at $52.46 per share on July 17, 2023.
After the market closed on July 17, 2023, Apellis issued a statement addressing the concerns raised by ASRS regarding vasculitis and SYFOVRE, explaining that, of the six occurrences of vasculitis following SYFOVRE treatment, “two of the events were confirmed as occlusive, one was confirmed as non-occlusive, and the remaining three were undetermined based on limited information and lack of imaging.” Apellis further acknowledged that “[t]he Company is continuing to conduct a thorough investigation of each of the events, working closely with the [ASRS] and several external specialists.” On this news, the price of Apellis common stock declined an additional $12.46 per share, or 23.75%, to close at $40.00 per share on July 18, 2023.
Then, prior to the open of the market on July 20, 2023, Wedbush downgraded Apellis’s price target by more than 50%, from $86.00 per share to $40.00 per share. On this news, the price of Apellis common stock declined $6.25 per share, or approximately 15%, from a close of $40.49 per share on July 19, 2023, to close at $34.24 per share on July 20, 2023.
Finally, on July 29, 2023, Apellis provided an update on the company’s review of the six events of retinal vasculitis reported by the ASRS concerning SYFOVRE treatments. In the update, Apellis confirmed a seventh event of retinal vasculitis resulting from SYFOVRE treatment as determined by Apellis’s internal safety committee and external retina/uveitis specialists. Apellis also stated that the company is evaluating an eighth reported event of retinal vasculitis, which Apellis had not yet confirmed. On this news, the price of Apellis common stock declined $6.27 per share, or 19%, from a close of $32.02 per share on July 28, 2023, to close at $25.75 per share on July 31, 2023.
The Complaint alleges that, throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts, about the company’s business and operations. Specifically, Defendants misrepresented and/or failed to disclose that: (1) the design of SYFOVRE’s clinical trials was insufficient to identify incidents of retinal vasculitis in patients receiving SYFOVRE injections; (2) as a result, the commercial adoption of SYFOVRE was subject to significant, unknown risk factors; and (3) therefore, Defendants’ statements about the company’s business, operations, and prospects lacked a reasonable basis.
For more information on the Apellis class action go to: https://bespc.com/cases/APLS
About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, California, and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
NOTE: This content is not written by or endorsed by "KXAN", its advertisers, or Nexstar Media Inc.