Cassava Sciences ($SAVA) $31.25 Million Investor Settlement
Cassava Sciences has agreed to a proposed $31.25 million settlement to resolve investor claims that it misled the market about simufilam’s supporting research, data-management controls, and the drug’s prospects.
Outline:
From 2020 into 2023, Cassava promoted simufilam and the research behind it as credible and promising. Investors say the company failed to disclose serious problems with data management and the reliability of research tied to the drug’s effectiveness. On October 12, 2023, Science reported that a professor linked to simufilam faced a CUNY investigation and that a committee found strong evidence of deliberate scientific misconduct. $SAVA fell 15% the next day, and the case has now moved to a proposed $31.25 million settlement.
Timeline:
October 12, 2023: Science reported that a professor linked to simufilam was facing a CUNY investigation over potential data manipulation.
October 13, 2023: $SAVA fell 15% after the report.
June 18, 2026: The parties agreed to settle the case for $31.25 million.
Background:
Cassava was developing simufilam as a potential Alzheimer’s treatment and presented the program as supported by credible research and strong prospects.
Investors say that the picture was misleading. According to the text provided, the company failed to disclose problems with data-management controls and the reliability of research tied to simufilam’s claimed effectiveness.
Those concerns came into sharper focus on October 12, 2023, when Science reported that a professor linked to simufilam was facing a CUNY investigation. The report said the university was examining long-standing and egregious misconduct in data management and record-keeping and that a committee found strong evidence of deliberate scientific misconduct after being unable to access raw data.
Investors say that disclosure raised serious doubt about the research supporting simufilam and the company’s prior statements about the drug’s prospects. $SAVA fell 15% the next day, and the parties have now agreed to a proposed $31.25 million settlement.
What Can Investors Expect Now?
Cassava Sciences has agreed to a proposed $31.25 million settlement to resolve investor claims that it misled the market about simufilam’s supporting research, data-management controls, and the drug’s prospects.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section.
Frequently Asked Questions
ALL PERSONS OR ENTITIES WHO PURCHASED OR OTHERWISE ACQUIRED CASSAVA SCIENCES (“CASSAVA”) COMMON STOCK OR CALL OPTIONS ON CASSAVA COMMON STOCK OR SOLD PUT OPTIONS ON CASSAVA COMMON STOCK BETWEEN SEPTEMBER 14, 2020 AND OCTOBER 12, 2023, INCLUSIVE
No, if you have purchased securities within the class period, you are eligible to participate.
You can participate in the settlement and retain (or sell) your securities.
The entire process usually takes 4 to 9 months after the claim deadline. But the exact timing depends on the court and settlement administration.
If you're eligible, you can file your claim directly from this case page by clicking the "Collect Payout" button.
More than 100 companies are currently paying out settlements. Connect your brokerage account to automatically check which ones you may have missed — or file manually for this case.
11th.com is an investor recovery company that helps investors track and collect securities class action settlements. We will:
1. Prepare documents for your payout.
2. Audit the claim and make sure you get the maximum possible payout.
3. File a claim with the settlement administration.
4. Correspond with the settlement administration to resolve emerging issues.
5. Deliver payout directly to your brokerage account.
There is no upfront cost, but we will deduct 20% of the recovered amount as a commission for our services.