SAN DIEGO–(BUSINESS WIRE)–#TLISstock—Robbins Geller Rudman & Dowd LLP announces that purchasers of Talis Biomedical Corporation (NASDAQ: TLIS) common stock pursuant and/or traceable to the registration statement and prospectus (collectively, the “Registration Statement”) issued in connection with Talis Biomedical’s February 12, 2021 initial public offering (“IPO”) have until this Tuesday, March 8, 2022 to seek appointment as lead plaintiff in Modrak v. Talis Biomedical Corporation, No. 22-cv-00105. Initiated on January 7, 2022 in the Northern District of California, the Talis Biomedical class action lawsuit charges Talis Biomedical, certain of its top executives and directors, as well as the underwriters of Talis Biomedical’s IPO with violations of the Securities Act of 1933. A similar lawsuit, Mitcham v. Talis Biomedical Corporation, No. 22-cv-01039, is also pending in the Northern District of California.
If you suffered substantial losses and wish to serve as lead plaintiff of the Talis Biomedical class action lawsuit, please provide your information by clicking here. You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at firstname.lastname@example.org. Lead plaintiff motions for the Talis Biomedical class action lawsuit must be filed with the court no later than this Tuesday, March 8, 2022.
CASE ALLEGATIONS: Talis Biomedical purportedly develops diagnostic tests to enable accurate, reliable, low cost, and rapid molecular testing for infectious diseases and other conditions at the point-of-care. The Talis One tests are being developed for respiratory infections, infections related to women’s health, and sexually transmitted infections. Through the IPO, Talis Biomedical sold more than 15.8 million shares of common stock at a price of $16.00 per share. Talis Biomedical received net proceeds of approximately $232.6 million from the IPO.
The Talis Biomedical class action lawsuit alleges that the IPO’s registration statement failed to disclose to investors that: (i) the comparator assay in the primary study lacked sufficient sensitivity to support Talis Biomedical’s Emergency Use Authorization (“EUA”) application for the Talis One COVID-19 test; (ii) as a result, Talis Biomedical was reasonably likely to experience delays in obtaining regulatory approval for the Talis One COVID-19 test; (iii) thus, Talis Biomedical’s commercialization timeline would be significantly delayed; and (iv) consequently, defendants’ positive statements about Talis Biomedical’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
On March 8, 2021, Talis Biomedical announced that it had withdrawn its EUA application for the Talis One COVID-19 test. In a press release, the Company revealed that “[i]n late February, the [U.S. Food and Drug Administration (‘FDA’)] informed the company that it cannot ensure the comparator assay used in the primary study has sufficient sensitivity to support Talis’s EUA application.” As a result, Talis “intends to initiate its previously planned clinical validation study in a point-of-care environment” to submit its EUA application “early in the second quarter of 2021.” This study “was designed with a different comparator assay, which Talis believes will address the FDA’s concerns.” On this news, Talis Biomedical’s stock price fell approximately 12%.
Then, on August 10, 2021, Talis Biomedical revealed that its “development time lines have been extended by delays in the launching of [Talis Biomedical’s] COVID-19 test and manufacturing scale.” As a result, Talis Biomedical “expect[s] to see [its] first meaningful revenue ramp in 2022.” On this news, Talis Biomedical’s stock price fell an additional 6%.
Thereafter, on August 30, 2021, Talis Biomedical announced that its Chief Executive Officer, defendant Brian Coe, had “stepped down” as President, CEO, and Director. On this news, Talis Biomedical’s stock price fell another 11%.
Finally, on November 15, 2021, Talis Biomedical announced that Brian Blaser was appointed as President, Chief Executive Officer, and Director of Talis Biomedical effective December 1, 2021. However, a week after his appointment, on December 8, 2021, Talis Biomedical announced that Blaser had stepped down from his positions. On this news, Talis Biomedical’s stock price fell an additional 11%, further damaging investors.
By the commencement of the Talis Biomedical class action lawsuit, Talis Biomedical’s shares traded as low as $3.81 per share, a more than 76% decline from the $16.00 per share IPO price.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits purchasers of Talis Biomedical common stock pursuant and/or traceable to the Registration Statement issued in connection with IPO to seek appointment as lead plaintiff in the Talis Biomedical class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the Talis Biomedical class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the Talis Biomedical class action lawsuit. An investor’s ability to share in any potential future recovery of the Talis Biomedical class action lawsuit is not dependent upon serving as lead plaintiff.
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