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News  ›  GlobeNewswire Inc.

Cassava Announces Agreement to Settle Securities Class Action Litigation

GlobeNewswire Inc. Logo GlobeNewswire Inc. By Na
Cassava Announces Agreement to Settle Securities Class Action Litigation

Cassava Sciences announced a definitive agreement to settle consolidated securities class action litigation for $31.25 million, which the company had fully reserved in Q2 2025. The settlement resolves claims from shareholders who purchased company stock between September 2020 and October 2023. The company states this is not an admission of fault and will allow it to focus resources on developing simufilam for TSC-related epilepsy, with a Phase 2 proof-of-concept study expected to begin in H1 2026.

Insights
GSpD   neutral

Mentioned as having a speaker (Jared Cohen) at the forum, with no specific positive or negative context


SAVA   neutral

While the settlement represents a significant financial obligation ($31.25 million), it resolves legacy litigation and allows the company to move forward with its core business. The company had already reserved the full amount, mitigating surprise impact. The advancement of simufilam toward clinical trials is positive, but the settlement itself is a neutral resolution of past disputes rather than a positive development.