Investors Respond to Securities Violations by PepGen Inc. in Class Action Lawsuit

PepGen Inc. Faces Legal Action for Securities Law Violations

In a significant development for investors, PepGen Inc. (NASDAQ: PEPG) is now embroiled in a class action securities lawsuit, as announced by Levi & Korsinsky, LLP. This lawsuit stems from claims regarding potential securities fraud affecting shareholders during a specific period from March 7, 2024, through March 3, 2025. The firm is urging affected investors to come forward and discuss their rights before the upcoming deadline of August 8, 2025.

Background of the Lawsuit

The lawsuit aims to recover losses for individuals who might have been adversely impacted by the alleged fraudulent activities surrounding PepGen Inc.'s lead product candidate, PGN-EDO51. The complaint outlines multiple grievances, asserting that PepGen misled investors regarding the safety and effectiveness of its key product.

Specifically, the allegations state that PepGen's management made misleading public statements, which included assertions that the clinical study (CONNECT2) was safe for development and would likely attain FDA approval. However, the lawsuit suggests that the reality was starkly different, with claims that the study posed risks and the prospects of their lead product were overstated.

Details of the Allegations

1. False Statements: The defendants allegedly misrepresented the effectiveness and safety of PGN-EDO51, leading investors to have an inflated view of its potential.
2. Dangerous Studies: The phase two CONNECT2 study was deemed deficient, potentially jeopardizing its approval from the U.S. FDA.
3. Overstated Prospects: Due to the aforementioned issues, the lawsuit argues that PepGen was likely to halt the CONNECT2 study, undermining the viability of PGN-EDO51 as a profitable candidate.

These allegations suggest that throughout this period, the company's public statements did not align with the reality of its circumstances, thus misleading stakeholders.

Action for Investors

For investors who have faced financial losses related to their stakes in PepGen Inc., Levi & Korsinsky emphasizes the importance of taking action before the August 8, 2025 deadline. Those affected are encouraged to reach out through the law firm, either via their website or by contacting attorney Joseph E. Levi directly at (212) 363-7500. They can explore the possibility of being appointed as a lead plaintiff, although participation in any potential recovery does not necessitate this role.

Importantly, the lawsuit provides a no-cost opportunity for class members to recover damages without incurring any out-of-pocket expenses. Levi & Korsinsky has a proven track record over the past two decades, having secured hundreds of millions in compensation for shareholders through similar cases, thus reinforcing their reputation in securities litigation.

Conclusion

As PepGen Inc. navigates through this challenging legal landscape, investors must stay informed and consider their rights in this unfolding situation. With Levi & Korsinsky leading the charge, many stakeholders might find a pathway to recover their losses and hold the company accountable for alleged securities violations. This case serves as a critical reminder of the legal protections available to investors when faced with potential corporate misconduct.