Cassava Sciences shares dropped after the company agreed to a $40 million settlement with the Securities and Exchange Commission over charges that it manipulated clinical trial data related to its Alzheimer’s disease drug.

Shares of Cassava Sciences Inc. dropped more than 10% in the extended session Thursday after announcing a settlement with U.S. securities regulators, who had charged the pharma company and two former executives for “misleading claims” about an Alzheimer’s clinical trial.

Shares of Cassava Sciences fell 10% in post-market trading on Thursday after the U.S. Securities and Exchange Commission charged the biopharmaceutical company and two former executives for misleading claims about the results of Alzheimer's clinical trials.