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NEW YORK, Feb. 25, 2026 /PRNewswire/ -- Shareholder rights firm Levi & Korsinsky, LLP is investigating potential securities law violations by Vistagen Therapeutics, Inc. (NASDAQ: VTGN) and reminds investors of the March 16, 2026 deadline to seek lead plaintiff status.
THE INVESTIGATION: The firm is examining whether Vistagen and certain officers made false or misleading statements during the period from April 1, 2024 through December 16, 2025.
Contact us if you suffered losses or reach Joseph E. Levi, Esq. at jlevi@levikorsinsky.com | (212) 363-7500.
THE CLINICAL TRIAL ISSUES
The complaint centers on Vistagen's PALISADE-3 Phase 3 clinical study, which evaluated an intranasal drug candidate for the acute treatment of social anxiety disorder. The study utilized a public speaking challenge design with the Subjective Units of Distress Scale (SUDS) as the primary efficacy endpoint.
According to the complaint, Joshua Prince, the Company's Chief Operating Officer, discussed operational aspects of the trial including enrollment cadence, screen failure rates, and site activation. The complaint alleges that Joshua Prince stated that screening rates were coming in consistent with projections and that the Company was seeing progress in line with expectations.
The complaint alleges that the defendants were aware from their own prior experience that public speaking challenge endpoints often exhibit elevated placebo responses, site variability, and measurement noise. Despite this alleged knowledge, the Company allegedly continued to present the trial as likely to succeed based on operational enhancements.
When trial results were announced, the study showed no statistically significant improvement on the primary endpoint. The least squares mean change from baseline was 13.6 for the drug candidate compared to 14.0 for placebo — a difference of only 0.4 points that was not statistically significant.
WHAT YOU CAN DO
Join this investigation or contact Joseph E. Levi, Esq. at jlevi@levikorsinsky.com | (212) 363-7500.
Levi & Korsinsky, LLP — Top 50 securities litigation firm (ISS Securities Class Action Services, seven consecutive years). Over 70 professionals. Hundreds of millions recovered.
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SOURCE Levi & Korsinsky, LLP
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