#United States #New York #Class Action #Securities Fraud #Geron Corporation

Geron Corporation Faces Class Action Lawsuit: Key Information for Investors

On April 29, 2025, Levi & Korsinsky, LLP announced a significant class action lawsuit against Geron Corporation (NASDAQ: GERN), aimed at protecting investors affected by purported securities fraud from February 28, 2024, to February 25, 2025. This action highlights serious allegations that might have resulted in substantial financial losses for affected shareholders.

Understanding the Lawsuit

The central focus of the lawsuit revolves around Geron's expectations concerning the drug Rytelo (imetelstat) – a treatment aimed at patients not eligible for first-line erythropoiesis-stimulating agents (ESAs). The allegations claim that the company's executives misled investors regarding the drug's potential for commercialization and growth. Specifically, the lawsuit notes that management downplayed risks tied to the drug's monitoring requirements and failed to adequately discuss competition challenges or seasonality effects which could impact sales.

Details of Allegations

According to the complaint, Geron executives were overly optimistic about Rytelo's upfront investment and future profitability without addressing significant hurdles they were facing. Investors learned the shocking news on February 26, 2025, when Geron revealed in their fourth-quarter fiscal report that Rytelo's sales growth had stagnated. Factors mentioned included heightened competition, low awareness among potential patients about Rytelo, and the existing burden of monitoring requirements which appeared to strain uptake and sales.

Following this alarming revelation, Geron’s stock price plunged dramatically, falling from $2.37 per share on February 25 to $1.61 on February 26 – approximately a 32% drop in value overnight. This swift decline in stock price exemplifies the potential repercussions for investors who bought shares based on the previously optimistic, yet misleading, information.

Eligibility for Participation

Investors who experienced financial losses during the mentioned timeframe are critical to the advancement of this case. The deadline to request appointment as a lead plaintiff is May 12, 2025. However, it’s important to note that participation in potential recovery doesn’t necessitate becoming a lead plaintiff. Class members may be eligible for compensation without out-of-pocket expenses or fees, emphasizing the lawsuit's low-risk participation.

Why Choose Levi & Korsinsky?

Levi & Korsinsky has a noteworthy history of representing investors in complex securities litigation, securing hundreds of millions of dollars over two decades for shareholders affected by similar issues. Recognized as one of the top firms in this field for seven consecutive years, their team comprises over 70 professionals dedicated to providing effective representation for aggrieved investors. As a class member, individuals are backed by a firm seasoned in navigating such legal waters, candidate for vast compensation claims against wrongful acts in the corporate sector.

Contact Information

For those interested in pursuing this case or seeking additional information, contact Joseph E. Levi, Esq. or Ed Korsinsky, Esq. at:

• - Email: [email protected]
• - Phone: (212) 363-7500

Conclusion

The impending class action against Geron Corporation highlights the importance of transparency in corporate communications and the risks investors face when vital information is obscured. For those potentially impacted by Rytelo’s commercial trajectory and the alleged misinformation from Geron’s management, this lawsuit presents an opportunity for recovery. Interested parties should act swiftly to ensure their positions are represented in this significant legal action.