June 19, 2015 (Shareholders Foundation) - An investigation on behalf of investors of Avalanche Biotechnologies Inc (NASDAQ:AAVL) shares over potential securities laws violations by Avalanche Biotechnologies and certain of its directors and officers in connection certain financial statements was announced.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Avalanche Biotechnologies Inc (NASDAQ:AAVL) concerning whether a series of statements by Avalanche Biotechnologies regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

Avalanche Biotechnologies Inc is a clinical-stage biotechnology company that is focused on discovering and developing gene therapies for patients with sight-threatening ophthalmic diseases. Avalanche Biotechnologies Inc is developing its lead product candidate, AVA-101, which is indicated for the treatment for wet age-related macular degeneration

Avalanche Biotechnologies Inc went public in July 2014 and shares of Avalanche Biotechnologies Inc (NASDAQ:AAVL) grew to as high as $60.08 per share in early January 2015.

On June 15, 2015, Avalanche Biotechnologies Inc announced phase 2a results for AVA-101 in Wet Age-Related Macular Degeneration. Avalanche Biotechnologies Inc announced that its Phase 2a clinical study for AVA-101 met its 12-month primary endpoint, based on ophthalmic and systemic safety, demonstrating that AVA-101 was well tolerated with a favorable safety profile in subjects with wet age-related macular degeneration (wet AMD). However, in a conference call to discuss Phase 2 clinical trial results, Avalanche Biotechnologies Inc indicated that the study wasn't designed to show statistically significant differences between active and control groups.

Shares of Avalanche Biotechnologies Inc (NASDAQ:AAVL) declined from $41.30 per share on June 15, 2015, to as low as $17.01 per share on June 16, 2015.