SAN FRANCISCO, Jan. 18, 2022 (GLOBE NEWSWIRE) -- Hagens Berman urges Talis Biomedical Corporation (NASDAQ: TLIS) investors with significant losses to submit your losses now. A securities class action has been filed concerning defendants’ representations during Talis’ Feb. 2021 initial public offering.
Talis Biomedical Corporation (TLIS) Securities Class Action:
Talis touted in its IPO documents that it submitted an application for emergency use authorization (“EUA”) to the FDA for its Talis One COVID-19 test in Jan. 2021. The company said it assessed the performance of the Talis One platform comparing nasal specimens with tests conducted in a central lab using the Center for Disease Control and Prevention assay, the test data used to assess the test exactly matched central lab results, and this suggested clinical sensitivity and specificity in the broader clinical population. These statements enabled Talis to go public and raise over $232 million in proceeds.
According to the complaint, the IPO documents were false and misleading as they omitted to disclose that: (1) the comparator assay in the study lacked sufficient sensitivity to support the company’s EUA application; (2) as a result, Talis was reasonably likely to experience delays in obtaining regulatory approval for the Talis One COVID-19 test; and, (3) as a result, the company’s commercialization timeline would be significantly delayed.
On Mar. 8, 2021, Talis announced that it withdrew its EUA application after the FDA informed it in late Feb. 2021 that it cannot ensure the comparator assay has sufficient sensitivity to support the company’s EUA application.
Over the next six months, Talis released a series of adverse disclosures concerning the Talis One COVID-19 test and the company’s prospects. In turn, by the commencement of the action, Talis stock has traded as low as $3.81 per share, a 76% decline from the $16 per share IPO price.
“We’re focused on investors’ losses and proving Talis’s IPO documents mispresented the commercial prospects for its COVID-19 test,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in Talis Biomedical and have significant losses, or have knowledge that may assist the firm’s investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Talis Biomedical should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email TLIS@hbsslaw.com.
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Reed Kathrein, 844-916-0895