According to the Complaint, Allakos Inc. is a clinical stage biopharmaceutical company that focuses on developing therapeutic antibodies targeting allergic, inflammatory, and proliferative diseases. The Company is developing AK002 for the treatment of eosinophilic gastritis and eosinophilic gastroenteritis, urticaria, indolent systemic mastocytosis, and severe allergic conjunctivitis.

The Complaint alleges that Defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (1) The Company’s ENIGMA Trial for its flagship drug, AK002, was poorly designed; (2) Allakos cherry picked timeframes to engineer results for the ENIGMA trial; (3) Allakos used superficial endpoints in the ENIGMA Trial relative to FDA guidance; (4) Allakos misrepresented the number of adverse incidents that occurred during the ENIGMA Trial; (5) the ENIGMA Trial was not well-controlled; (6) Allakos failed to report key data from the ENIGMA Trial; and (7) as a result, Defendants’ statements about Allakos’ business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.

On June 4, 2020, the Court issued an Order appointing Lead Plaintiff and Counsel. Lead Plaintiff filed an amended Complaint on August 28. Defendants filed a Motion to Dismiss the amended Complaint on November 25. On March 31, 2022, the Court issued an Order granting Defendants' Motion to Dismiss. Plaintiff was given leave to amend the Complaint.

On April 29, 2022, Lead Plaintiff filed a second amended Complaint. Defendants filed a Motion to Dismiss the second amended Complaint on June 13. On December 6, the Court issued an Order granting Defendants' Motion to Dismiss and entered Judgment in favor of Defendants and against Plaintiff.