#United States #New York #Class Action #Pomerantz LLP #ESSA Pharma

Pomerantz Law Firm Initiates Class Action Against ESSA Pharma Inc.

On March 11, 2025, the Pomerantz Law Firm announced that a class action lawsuit has been brought against ESSA Pharma Inc. (ticker: EPIX) and several of its officers. This litigation comes following a significant drop in the company’s stock price, sparking concerns among investors regarding potential violations in securities laws. The filing took place in the United States District Court for the Eastern District of Wisconsin, officially noted under the case number 25-cv-00124.

This class action represents a group of individuals and entities who purchased or acquired ESSA securities between December 12, 2023, and October 31, 2024. The lawsuit alleges that misleading statements and omissions made by ESSA’s executives had a direct adverse impact on the company's stock performance, ultimately resulting in financial losses for investors. In light of the allegations, those affected must file to become the lead plaintiff by March 25, 2025.

ESSA Pharma is recognized as a clinical-stage pharmaceutical company focused on developing small-molecule drugs aimed at treating prostate cancer. The centerpiece of its research efforts, masofaniten (designated EPI-7386), is an investigational oral drug targeting the androgen receptor, a key player in prostate cancer progression, particularly in cases categorized as castration-resistant prostate cancer (CRPC).

The company was running multiple clinical trials, notably the M-E Combination Study, which assessed masofaniten in tandem with the conventional medication enzalutamide. In Phase 1, ESSA sought to determine a recommended dose of masofaniten that would complement enzalutamide, hoping to enhance treatment efficacy for prostate cancer patients. Phase 2 aimed to compare the effectiveness of the combination therapy versus monotherapy with enzalutamide, using the metric of PSA90 - a significant indicator of treatment response in prostate cancer.

However, the class action statement claims that throughout the period in question, ESSA’s executives provided misleading narratives about the effectiveness and prospects of masofaniten, implying it provided significant benefits over enzalutamide alone. It is alleged that they failed to disclose critical information suggesting that the combination treatment did not demonstrate the anticipated clinical efficacy, leading to a misrepresentation of the company's position.

On October 31, 2024, ESSA released a press statement detailing the termination of Phase 2 for the M-E Combination Study, attributing the decision to an interim review that indicated no significant efficacy benefit from combining masofaniten with enzalutamide. This announcement led to a staggering 73% decline in ESSA's share price, reducing it to $1.40 per share, thus solidifying the severity of the situation and the impact on shareholders.

Pomerantz Law Firm, which is well-regarded in the domain of corporate and securities litigation, seeks to rectify the situation for affected investors. Their extensive experience in pursuing class action cases against corporations involved in securities fraud positions them as a formidable advocate for investor rights. Founded by the late Abraham L. Pomerantz, the firm has developed a strong legacy of championing those wronged by corporate misconduct.

If you're an affected investor aiming to learn more about joining the class action, detailed information can be accessed via the firm's official website, alongside contact details for relevant inquiries. Those interested are encouraged to include their personal information and purchase details when reaching out. This case underscores the complexities of the pharmaceutical industry and the critical importance of transparency from corporate entities, especially when it involves public investments.

Stay tuned as developments unfold in this significant case impacting numerous investors and the larger conversation surrounding corporate responsibility in the pharmaceutical sector.