April 22, 2016 (Shareholders Foundation) - An investigation on behalf of investors of Chiasma Inc (NASDAQ:CHMA) shares over potential securities laws violations by Chiasma 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 Chiasma Inc (NASDAQ:CHMA) concerning whether a series of statements by Chiasma regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

Chiasma Inc went public in July 2015 initial public stock offering

Chiasma Inc offered more than 6,300,000 shares of its common stock at $16.00 per share in connection with its initial public stock offering (IPO).

On April 15, 2016, U.S. Food and Drug Administration (FDA) reported its decision on Chiasmas acromegaly candidate, Mycappsa. The FDA issued a complete response letter and said that the new drug application (NDA) for its treatment of a rare ailment related to the pituitary gland was not ready for approval in its present form.