We are investigating Adamas Pharmaceuticals, Inc. (ADMS) (“Adamas” or the “Company”) for potential violations of the federal securities laws.
In January 2018, Adamas completed a secondary public offering (“SPO”), issuing approximately 3 million shares of common stock priced at $41.50 per share. In October 2018, Merrill Lynch released a study which cast serious doubt on the ability of Gocovri, Adamas’s treatment for dyskinesia in Parkinson’s disease patients treated with levodopa therapy, to achieve a sizeable market share and emphasized that Adamas had failed to include critical information. In March 2019, Adamas backtracked on prior issued growth estimates and no longer made predictions regarding Gocovri’s ability to achieve a sizeable market share. Adamas’s stock price has fallen sharply since the SPO and now trades well below the offering price.