Cassava SciencesNASDAQ: SAVA

The biotech is paying $40 million not to acquire a drug or fund a development program, but to satisfy a regulator. The money is going toward a settlement with the Securities and Exchange Commission.

Shares of Cassava Sciences Inc. dropped more than 10% in the extended session Thursday after announcing a settlement with U.S. securities regulators, who had charged the pharma company and two former executives for “misleading claims” about an Alzheimer's clinical trial.

AUSTIN, Texas, Sept. 26, 2024 (GLOBE NEWSWIRE) -- Cassava Sciences, Inc. (“Cassava” or the “Company”) (Nasdaq: SAVA), a biotechnology company focused on Alzheimer's disease, today announced that it has reached a settlement with the U.S. Securities and Exchange Commission (“SEC”) of negligence-based disclosure charges that resolve a previously-disclosed SEC investigation into statements made by the Company pertaining to the results of its 2020 Phase 2b clinical trial of simufilam and related matters. Two former senior employees of the Company also settled negligence-based disclosure charges brought by the SEC.

Washington, D.C.--(Newsfile Corp. - September 26, 2024) - The Securities and Exchange Commission today announced Cassava Sciences, Inc., its founder and former CEO, Remi Barbier, and its former Senior Vice President of Neuroscience, Dr. Lindsay Burns, will pay more than $40 million to settle charges related to misleading statements made in September 2020 about the results of a Phase 2 clinical trial for the company's purported therapeutic for the treatment of Alzheimer's disease.

Cassava Sciences NASDAQ: SAVA has become a hot topic among traders and active market participants thanks to its recent surge in volatility, liquidity, and overall market performance. Over the past month, shares have climbed 133% and are now more than 190% above their 52-week low.

Cassava Sciences, Inc. announced its Q2 earnings earlier today. Management says it hopes to share pivotal Phase 3 study data for Alzheimer's drug candidate simufilam in 2024. The CEO and Head of Research resigned from the company a few weeks ago — possibly related to an ongoing SEC investigation into Cassava.

Last month, we took a look at three biotech stocks following a historically bullish month for biotech exchange-traded fund (ETF) SPDR S&P Biotech ETF (XBI).

AUSTIN, Texas, Aug. 05, 2024 (GLOBE NEWSWIRE) -- Cassava Sciences, Inc. (Nasdaq: SAVA) today reflected on the passing of long-time board member Sanford Robertson.

AUSTIN, Texas, Aug. 01, 2024 (GLOBE NEWSWIRE) -- Cassava Sciences, Inc. (Nasdaq: SAVA), a clinical-stage biotechnology company focused on Alzheimer's disease, announced today that it will hold a conference call on Thursday, August 8th at 8:30 a.m. Eastern Time.