#United States #New York #securities lawsuit #Faruqi Faruqi #Vistagen Therapeutics

Vistagen Therapeutics Class Action Update

As the deadline looms for a significant class action lawsuit, investors of Vistagen Therapeutics, Inc. (NASDAQ: VTGN) are urged to take immediate action. The national securities law firm Faruqi & Faruqi, LLP has alerted shareholders of the urgent need to engage with the legal proceedings before the March 16, 2026 deadline for seeking lead plaintiff status.

Overview of the Class Action

Faruqi & Faruqi, with a solid reputation for advocating the rights of investors, is probing possible claims against Vistagen. The investigation centers on accusations that the company misled investors concerning the performance and prospects of its lead drug candidate, fasedienol. Allegedly, Vistagen made exaggerated claims regarding the potential success of fasedienol's clinical trials, particularly emphasizing results from the previous PALISADE-2 trial while failing to disclose material adverse facts that undercut those assertions.

The core of the allegations lies in the company’s announcement on December 17, 2025, which revealed that the PALISADE-3 trial did not meet its primary efficacy endpoint. This announcement caused VTGN’s stock to plummet over 81%, marking a devastating financial impact on shareholders who may have acquired shares based on inaccurate information.

Investor Rights and Options

Investors who purchased or acquired securities in Vistagen between April 1, 2024, and December 16, 2025, and feel wronged by the company’s actions are encouraged to seek redress. Faruqi & Faruqi invites affected shareholders to contact partner Josh Wilson for a confidential discussion regarding their rights and options. The firm emphasizes that any investor can choose to become a lead plaintiff - a designation that allows shareholders to oversee the litigation on behalf of the class - or may opt to remain an absent class member.

Why the Deadline Matters

The importance of the March 16, 2026 deadline cannot be overstated. The court-appointed lead plaintiff will play a crucial role in directing the litigation process, affecting the potential recovery for all investors involved in the case. Securing adequate representation within the stipulated time frame is crucial for those investors who wish to maximize their claims against Vistagen.

How to Get Involved

For shareholders keen to learn more about their rights and the ongoing legal proceedings, engaging with the law firm during this time is essential. These proceedings are empowered by the participation of individuals who possess firsthand information about Vistagen’s practices, including whistleblowers and former employees.

Faruqi & Faruqi remains committed to representing the interests of investors. They have successfully recovered significant sums for clients in the past and aim to do the same for those affected by Vistagen's alleged misleading conduct. Interested parties can visit Faruqi Law’s Vistagen page for in-depth material or reach out directly for personal consultations.

Conclusion

As developments unfold, Vistagen Therapeutics investors are strongly advised to act quickly to safeguard their interests. The implications of failing to respond to this class action lawsuit could be profound, given the recent market actions following the company’s announcement. Engage with legal counsel to navigate this critical juncture successfully.