News Page
Published February 13, 2026
Vistagen told investors it was on the brink of a breakthrough. A first of its kind treatment for social anxiety. Phase Three success. FDA approval in sight.
From April 2024 through most of 2025, executives repeatedly praised their PALISADE-Three trial. They said enrollment was strong. Execution was tighter than ever. And results were expected to confirm earlier success. But behind the optimism, the story was very different. On December 17, 2025, the truth came out.
The Phase Three trial failed. No meaningful difference versus placebo. The core endpoint missed. Investors were stunned. Vistagen stock collapsed from about $4 to under $1 in a single day.
More than 80% gone. Confidence wiped out. Now, investors say they were misled. And more shareholders are joining the lawsuit.