Cohen Milstein Seeks Investors to Lead Suit to Hold Zenas BioPharma (ZBIO) Accountable for IPO-Related Fraud

/EIN News/ -- WASHINGTON, D.C., May 01, 2025 (GLOBE NEWSWIRE) -- Zenas BioPharma, Inc. (NASDAQ: ZBIO) entered the public markets in September 2024 with a $17 per share debut and bold projections. But within weeks, investors were facing a much different picture—one that has now led to a securities class action lawsuit and an upcoming court deadline.

Cohen Milstein Sellers & Toll PLLC, one of the nation’s top securities law firms, is calling on investors who purchased shares during the IPO to consider joining and seeking appointment as lead plaintiff in the lawsuit. The deadline to file is June 16, 2025.

[Click here for information about joining the class action]

If you’d like to discuss this matter or your rights before signing up, please contact Molly J. Bowen, a partner at Cohen Milstein, at (202) 408-4600 or mbowen@cohenmilstein.com.

What Went Wrong?
The lawsuit alleges that Zenas BioPharma misled investors in its IPO registration materials by overstating how long its funding would last. While the company claimed it could operate for 24 months on its IPO proceeds and cash reserves, a November 2024 SEC filing cut that projection in half—just 12 months. ZBIO shares have since tumbled nearly 49%, closing at $8.72 on April 15, 2025.

Why This Matters Now?
A federal class action lawsuit has already been filed in the U.S. District Court for the District of Massachusetts. Investors who purchased shares in or traceable to the IPO can move to serve as lead plaintiff—a role that allows shareholders to help guide the litigation on behalf of the broader class. Acting as lead plaintiff is not required to recover losses, but it allows investors with substantial financial interest to shape case strategy and outcomes.

Cohen Milstein - A Leader in High-Stakes Cases:
Cohen Milstein is widely recognized for its leadership in high-profile investor cases. With over 100 attorneys in eight offices and a track record that includes a recent $1 billion recovery in the Wells Fargo Securities Litigation, the firm is frequently called upon to represent shareholders in complex securities actions.

Industry trade publications, including Law360, The National Law Journal, Chambers USA, and The Legal 500, rank our securities litigation practice and many of our securities litigators as among the best in the nation.

Don’t Miss the Deadline:
If you bought ZBIO shares in the IPO and experienced losses, now is the time to act. The lead plaintiff motion deadline is June 16, 2025.

CONTACT:
Molly Bowen, Esq.
Licensed in DC, Florida, and Ohio
Cohen Milstein Sellers & Toll PLLC
1100 New York Avenue, N.W., Fifth Floor
Washington, D.C. 20005
Phone: (888) 240-0775 or (202) 408-4600
Email: mbowen@cohenmilstein.com
Website: www.cohenmilstein.com

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