Cassava gains after SEC settlement on Alzheimer's drug trial claims

Filana Therapeutics

08/10/2024 14:52

** Shares of drug developer Cassava Sciences  SAVA.O  up
8.2% at $27.49 in early trade
    ** Co says made decision to enter settlement with U.S.
Securities and Exchange Commission (SEC); to pay $40 mln penalty
    ** SEC had charged SAVA and its two former executives for
misleading claims about results from clinical trials of an
experimental Alzheimer's drug
    ** Co says it does not anticipate that the Department of
Justice will charge the co or seek a resolution from it
    ** Adds, will separate CEO and board chair roles
    ** Separately, HC Wainwright upgrades SAVA to "buy" from
"neutral" with a price target of $116
    ** Says, the SEC settlement puts behind any controversy that
could be a significant long-term challenge to upside in stock
and turns focus back on Alzheimer drug study
    ** Including session's gain, stock up 27.3% YTD

 (Reporting by Sukriti Gupta)
 ((Sukriti.Gupta@thomsonreuters.com;))