#United States #San Francisco #stock fraud #Hagens Berman #Aardvark Therapeutics

Hagens Berman Issues Notice to Aardvark Therapeutics Investors

In a significant announcement, Hagens Berman Sobol Shapiro LLP, known for championing shareholder rights, has alerted investors in Aardvark Therapeutics, Inc. (NASDAQ: AARD) about an impending securities fraud class action lawsuit. This legal move is particularly relevant for those who acquired shares during the company's initial public offering (IPO) on or around February 13, 2025, or anyone who bought Aardvark securities between February 13, 2025, and May 14, 2026.

Details of the Lawsuit

The lawsuit centers around allegations that Aardvark Therapeutics made false and misleading statements regarding its lead drug candidate, ARD-101, designed to treat hyperphagia in individuals with Prader-Willi Syndrome. Specifically, the lawsuit claims that important safety information regarding ARD-101 was not disclosed, creating an inflated perception of the company’s clinical prospects. The core allegations detail that:

• - Safety Issues Ignored: ARD-101 was substantially less safe than previously implied by Aardvark's management.
• - Cardiac Concerns: Unexpected and reversible cardiac observations were reported during clinical trials at doses that exceeded targets, a critical detail downplayed in public communications.
• - Overstated Commercial Viability: The prospects for Aardvark's clinical trials, most notably the Phase 3 Hunger Elimination or Reduction Objective (HERO) trial, were exaggerated, influencing investor decisions.

Significant Events

A series of unfortunate announcements unveiled the truth behind Aardvark's misleading claims. On February 27, 2026, the company revealed a voluntary pause in its Phase 3 HERO trial due to concerning cardiac observations from a healthy volunteer study, resulting in a staggering 56% drop in their stock price. Following this, the FDA fully suspended all ongoing studies, including the HERO trial, leading to an additional 32.1% decline in stock value by mid-May 2026.

Hagens Berman's Inquiry

Hagens Berman is actively investigating these serious allegations, emphasizing that Aardvark may have significantly misled investors about the safety, efficacy, and developmental status of ARD-101. Reed Kathrein, a partner at Hagens Berman, noted, "We are looking into the implications of these misleading statements on shareholder investments."

Next Steps for Investors

For investors who believe they may have suffered losses due to these developments, Hagens Berman encourages you to act swiftly. The deadline to apply for lead plaintiff status in this class action is set for October 13, 2026. Investors are urged to reach out to Hagens Berman for a consultation regarding their legal rights and options for potential recovery.

Contact Information

To learn more about this investigation or to get involved, you can contact Hagens Berman directly at [email protected] or by phone at 844-916-0895. Additionally, for those who have insider information about Aardvark Therapeutics, whistleblower protections are available, providing potential rewards of up to 30% on successful recoveries.

About Hagens Berman

Hagens Berman Sobol Shapiro LLP is a powerful advocate for plaintiffs’ rights, with a strong emphasis on corporate accountability. The firm has a storied history of fighting for investors and has recovered over $2.9 billion on behalf of clients affected by corporate wrongdoing. More details about their achievements can be found at hbsslaw.com.
Follow updates from the firm on Twitter at @ClassActionLaw.

As the landscape of corporate accountability continues to evolve, Aardvark’s investors must remain vigilant and informed. The implications of this class action could set precedents for investor rights and the responsibilities that companies have towards their shareholders.