{"success":true,"data":{"pressRelease":{"id":"19901","rtpr_id":"nACSrqh0Ya","ticker":"RGC","exchange":"NASDAQ","all_tickers":["RGC"],"title":"Pomerantz LLP Brings Class Action Litigation Against Regencell Bioscience Holdings Limited – RGC","author":"ACCESSWIRE","published_at":"2026-05-04T22:00:01.468Z","article_body":"NEW YORK CITY, NY / ACCESS Newswire (https://www.accessnewswire.com/) / May 4,\n2026 / Pomerantz LLP announces that a class action lawsuit has been filed\nagainst Regencell Bioscience Holdings Limited (\"Regencell\" or the \"Company\")\n(NASDAQ:RGC) and certain officers.   The class action, filed in the United\nStates District Court for the District of Maryland, and docketed under\n26-cv-01602, is on behalf of a class consisting of all persons and entities\nother than Defendants that purchased or otherwise acquired Regencell\nsecurities between October 28, 2024 and October 31, 2025, both dates inclusive\n(the \"Class Period\"), seeking to recover damages caused by Defendants'\nviolations of the federal securities laws and to pursue remedies under\nSections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5\npromulgated thereunder, against the Company and certain of its top officials.\n\nIf you are an investor who purchased or otherwise acquired Regencell\nsecurities during the Class Period, you have until June 23, 2026, to ask the\nCourt to appoint you as Lead Plaintiff for the class.  A copy of the\nComplaint can be obtained at www.pomerantzlaw.com.  To discuss this action,\ncontact Danielle Peyton at newaction@pomlaw.com or 646-581-9980 (or\n888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are\nencouraged to include their mailing address, telephone number, and the number\nof shares purchased. \n\n[Click here for information about joining the class action]\n(https://pomlaw.com/learn-more-form?company=RGC)\n\nRegencell is a purported early-stage bioscience company focused on the\nresearch, development, and commercialization of traditional Chinese medicine\n(\"TCM\") for the treatment of attention-deficit/hyperactivity disorder (\"ADHD\")\nand autism spectrum disorder (\"ASD\")-two disorders generally considered\nincurable under current medical consensus. The Company asserts that while\n\"currently available drugs and treatments in the markets for ADHD and ASD aim\nto suppress or alleviate symptoms,\" its \"TCM formula aim[s] to treat the\nfundamental cause of neurocognitive disorders.\" (Emphasis added.)\n\nRegencell is a \"controlled company\" under the Nasdaq Capital Market's rules.\nPer Regencell's most recent annual report on Form 20-F, as of June 30, 2025,\n88.8% of its shares were held by its directors and executive officers, with\n88.6% of those shares owned by Defendant Yat-Gai Au (\"Au\")-the Company's\nfounder, Chairman, and Chief Executive Officer. Today, 88.56% of Regencell's\nshares are held by insiders, with the vast majority of those shares still\npresumably in the hands of Defendant Au.\n\nFrom the start of the Class Period through approximately mid-March 2025,\nRegencell's ordinary shares generally traded at less than 30 cents per share.\nHowever, beginning in early May 2025, the price for these shares suddenly\nskyrocketed, closing at a Class Period high of $78.00 per share on June 17,\n2025-a 48,650% increase from the start of the Class Period and an\napproximately 382% increase from just a week prior. By the following week, the\nCompany's share price had plummeted, closing in a range only slightly higher\nthan $20.00 per share. As of the time of the filing of the complaint,\nRegencell's ordinary shares traded around $27.00 to $29.00 per share, with a\nthree-month average trading volume of approximately 167,380 shares.\n\nThe meteoric rise in Regencell's ordinary share price has no evident\nconnection to any public disclosures regarding its underlying business\nfundamentals. Regencell has twelve employees, no approved or salable products,\nno revenue, and has incurred operating losses since its formation. Further,\nnotwithstanding its stated goal of curing medical disorders that are widely\nconsidered incurable, the Company's research and development (\"R&D\") costs\nwere only $0.95 million and $1.07 million for the years ended June 30, 2025\nand 2024, respectively. This stands in stark contrast with Regencell's own\nrepresentations that \"average [R&D] to marketplace cost for a new medicine is\nnearly $4 billion, and can sometimes exceed $10 billion.\" The Company itself\nhas admitted that \"our stock price has experienced extreme price and volume\nfluctuations that have often been unrelated or disproportionate to the\noperating performance of our company.\"\n\nNotwithstanding the foregoing, Regencell has a market value of approximately\n$14 billion. As The Wall Street Journal observed in January 2026, \"for\ncontext, only 20 of the 261 companies in the Nasdaq Biotechnology Index had a\ngreater market value; the index doesn't include Regencell.\"\n\nAt all relevant times, Defendants downplayed the likelihood and severity of,\nand/or risks related to, volatility in the market for Regencell's ordinary\nshares, or else downplayed the potential role of market manipulation in\ngenerating said volatility. Indeed, Defendants attributed any volatility\nlargely to short-selling activity and unidentified third-party news and social\nmedia activity.\n\nThe complaint alleges that, throughout the Class Period, Defendants made\nmaterially false and misleading statements regarding the Company's business,\noperations, and compliance policies. Specifically, Defendants made false\nand/or misleading statements and/or failed to disclose that: (i) Regencell was\nvulnerable and/or subject to market manipulation; (ii) the resulting\nvolatility in the market for the Company's ordinary shares exposed Regencell's\ninvestors to significant financial risk; (iii) all the foregoing subjected\nRegencell to a heightened risk of regulatory and/or governmental scrutiny and\nenforcement action, as well as significant legal, monetary, and reputational\nharm; and (iv) as a result, Defendants' public statements were materially\nfalse and misleading at all relevant times.\n\nThe truth began to emerge on October 31, 2025, when Regencell disclosed in a\nfiling with the U.S. Securities and Exchange Commission that \"following recent\nvolatility in the market for our Ordinary Shares, the Company received\ncorrespondence and a subpoena from the United States Department of Justice\n(‘DOJ'), indicating that the DOJ is conducting an investigation into the\ntrading in our Ordinary Shares.\"  Regencell said that \"[t]he DOJ has\nrequested the production of documents and communications concerning these and\nother corporate operational, financial and accounting matters\" and that the\nCompany \"expect[s] to continue to incur significant legal costs and other\nexpenses in connection with responding to the investigation\" and \"may be\nrequired to pay fines, penalties, damages or settlement costs in excess of our\ninsurance coverage, if any, related to the investigation.\"\n\nOn this news, Regencell's ordinary share price fell $3.09 per share, or\n18.56%, to close at $13.56 per share on November 3, 2025.\n\nPomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris,\nand Tel Aviv, is acknowledged as one of the premier firms in the areas of\ncorporate, securities, and antitrust class litigation. Founded by the late\nAbraham L. Pomerantz, known as the dean of the class action bar, Pomerantz\npioneered the field of securities class actions. Today, more than 85 years\nlater, Pomerantz continues in the tradition he established, fighting for the\nrights of the victims of securities fraud, breaches of fiduciary duty, and\ncorporate misconduct. The Firm has recovered billions of dollars in damages\nawards on behalf of class members. See www.pomlaw.com.\n\nAttorney advertising.  Prior results do not guarantee similar outcomes.\n\nSOURCE: Pomerantz LLP\nView the original press release\n(https://www.accessnewswire.com/newsroom/en/business-and-professional-services/pomerantz-llp-brings-class-action-litigation-against-regencell-b-1161097)\non ACCESS Newswire\n\n\nCopyright 2026 ACCESS Newswire. All Rights Reserved.","article_body_html":"","raw_payload":{"data":{"id":"nACSrqh0Ya","title":"Pomerantz LLP Brings Class Action Litigation Against Regencell Bioscience Holdings Limited – RGC","author":"ACCESSWIRE","ticker":"RGC","created":"2026-05-04T22:00:01.468Z","tickers":["RGC"],"exchange":"NASDAQ","article_body":"NEW YORK CITY, NY / ACCESS Newswire (https://www.accessnewswire.com/) / May 4,\n2026 / Pomerantz LLP announces that a class action lawsuit has been filed\nagainst Regencell Bioscience Holdings Limited (\"Regencell\" or the \"Company\")\n(NASDAQ:RGC) and certain officers.   The class action, filed in the United\nStates District Court for the District of Maryland, and docketed under\n26-cv-01602, is on behalf of a class consisting of all persons and entities\nother than Defendants that purchased or otherwise acquired Regencell\nsecurities between October 28, 2024 and October 31, 2025, both dates inclusive\n(the \"Class Period\"), seeking to recover damages caused by Defendants'\nviolations of the federal securities laws and to pursue remedies under\nSections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5\npromulgated thereunder, against the Company and certain of its top officials.\n\nIf you are an investor who purchased or otherwise acquired Regencell\nsecurities during the Class Period, you have until June 23, 2026, to ask the\nCourt to appoint you as Lead Plaintiff for the class.  A copy of the\nComplaint can be obtained at www.pomerantzlaw.com.  To discuss this action,\ncontact Danielle Peyton at newaction@pomlaw.com or 646-581-9980 (or\n888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are\nencouraged to include their mailing address, telephone number, and the number\nof shares purchased. \n\n[Click here for information about joining the class action]\n(https://pomlaw.com/learn-more-form?company=RGC)\n\nRegencell is a purported early-stage bioscience company focused on the\nresearch, development, and commercialization of traditional Chinese medicine\n(\"TCM\") for the treatment of attention-deficit/hyperactivity disorder (\"ADHD\")\nand autism spectrum disorder (\"ASD\")-two disorders generally considered\nincurable under current medical consensus. The Company asserts that while\n\"currently available drugs and treatments in the markets for ADHD and ASD aim\nto suppress or alleviate symptoms,\" its \"TCM formula aim[s] to treat the\nfundamental cause of neurocognitive disorders.\" (Emphasis added.)\n\nRegencell is a \"controlled company\" under the Nasdaq Capital Market's rules.\nPer Regencell's most recent annual report on Form 20-F, as of June 30, 2025,\n88.8% of its shares were held by its directors and executive officers, with\n88.6% of those shares owned by Defendant Yat-Gai Au (\"Au\")-the Company's\nfounder, Chairman, and Chief Executive Officer. Today, 88.56% of Regencell's\nshares are held by insiders, with the vast majority of those shares still\npresumably in the hands of Defendant Au.\n\nFrom the start of the Class Period through approximately mid-March 2025,\nRegencell's ordinary shares generally traded at less than 30 cents per share.\nHowever, beginning in early May 2025, the price for these shares suddenly\nskyrocketed, closing at a Class Period high of $78.00 per share on June 17,\n2025-a 48,650% increase from the start of the Class Period and an\napproximately 382% increase from just a week prior. By the following week, the\nCompany's share price had plummeted, closing in a range only slightly higher\nthan $20.00 per share. As of the time of the filing of the complaint,\nRegencell's ordinary shares traded around $27.00 to $29.00 per share, with a\nthree-month average trading volume of approximately 167,380 shares.\n\nThe meteoric rise in Regencell's ordinary share price has no evident\nconnection to any public disclosures regarding its underlying business\nfundamentals. Regencell has twelve employees, no approved or salable products,\nno revenue, and has incurred operating losses since its formation. Further,\nnotwithstanding its stated goal of curing medical disorders that are widely\nconsidered incurable, the Company's research and development (\"R&D\") costs\nwere only $0.95 million and $1.07 million for the years ended June 30, 2025\nand 2024, respectively. This stands in stark contrast with Regencell's own\nrepresentations that \"average [R&D] to marketplace cost for a new medicine is\nnearly $4 billion, and can sometimes exceed $10 billion.\" The Company itself\nhas admitted that \"our stock price has experienced extreme price and volume\nfluctuations that have often been unrelated or disproportionate to the\noperating performance of our company.\"\n\nNotwithstanding the foregoing, Regencell has a market value of approximately\n$14 billion. As The Wall Street Journal observed in January 2026, \"for\ncontext, only 20 of the 261 companies in the Nasdaq Biotechnology Index had a\ngreater market value; the index doesn't include Regencell.\"\n\nAt all relevant times, Defendants downplayed the likelihood and severity of,\nand/or risks related to, volatility in the market for Regencell's ordinary\nshares, or else downplayed the potential role of market manipulation in\ngenerating said volatility. Indeed, Defendants attributed any volatility\nlargely to short-selling activity and unidentified third-party news and social\nmedia activity.\n\nThe complaint alleges that, throughout the Class Period, Defendants made\nmaterially false and misleading statements regarding the Company's business,\noperations, and compliance policies. Specifically, Defendants made false\nand/or misleading statements and/or failed to disclose that: (i) Regencell was\nvulnerable and/or subject to market manipulation; (ii) the resulting\nvolatility in the market for the Company's ordinary shares exposed Regencell's\ninvestors to significant financial risk; (iii) all the foregoing subjected\nRegencell to a heightened risk of regulatory and/or governmental scrutiny and\nenforcement action, as well as significant legal, monetary, and reputational\nharm; and (iv) as a result, Defendants' public statements were materially\nfalse and misleading at all relevant times.\n\nThe truth began to emerge on October 31, 2025, when Regencell disclosed in a\nfiling with the U.S. Securities and Exchange Commission that \"following recent\nvolatility in the market for our Ordinary Shares, the Company received\ncorrespondence and a subpoena from the United States Department of Justice\n(‘DOJ'), indicating that the DOJ is conducting an investigation into the\ntrading in our Ordinary Shares.\"  Regencell said that \"[t]he DOJ has\nrequested the production of documents and communications concerning these and\nother corporate operational, financial and accounting matters\" and that the\nCompany \"expect[s] to continue to incur significant legal costs and other\nexpenses in connection with responding to the investigation\" and \"may be\nrequired to pay fines, penalties, damages or settlement costs in excess of our\ninsurance coverage, if any, related to the investigation.\"\n\nOn this news, Regencell's ordinary share price fell $3.09 per share, or\n18.56%, to close at $13.56 per share on November 3, 2025.\n\nPomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris,\nand Tel Aviv, is acknowledged as one of the premier firms in the areas of\ncorporate, securities, and antitrust class litigation. Founded by the late\nAbraham L. Pomerantz, known as the dean of the class action bar, Pomerantz\npioneered the field of securities class actions. Today, more than 85 years\nlater, Pomerantz continues in the tradition he established, fighting for the\nrights of the victims of securities fraud, breaches of fiduciary duty, and\ncorporate misconduct. The Firm has recovered billions of dollars in damages\nawards on behalf of class members. See www.pomlaw.com.\n\nAttorney advertising.  Prior results do not guarantee similar outcomes.\n\nSOURCE: Pomerantz LLP\nView the original press release\n(https://www.accessnewswire.com/newsroom/en/business-and-professional-services/pomerantz-llp-brings-class-action-litigation-against-regencell-b-1161097)\non ACCESS Newswire\n\n\nCopyright 2026 ACCESS Newswire. All Rights Reserved."},"type":"article","timestamp":"2026-05-04T22:00:01.518172333Z","server_sent_at_ms":1777932001518},"received_at":"2026-05-04T22:00:01.578Z","source_url":"https://www.accessnewswire.com/newsroom/en/business-and-professional-services/pomerantz-llp-brings-class-action-litigation-against-regencell-b-1161097"},"analysis":{"id":"14590","press_release_id":"19901","analysis_json":{"industry":{"label":"Pharmaceuticals, Biotechnology & Life Sciences","sector":"Health Care"},"redFlags":[],"eventType":"legal_litigation","narrative":"Pomerantz LLP announced a class action lawsuit against Regencell Bioscience Holdings (RGC) alleging violations of federal securities laws related to market manipulation and the company's failure to disclose associated risks.\n\nThe complaint cites the company's receipt of a subpoena from the U.S. Department of Justice in October 2025 and targets investors who purchased securities between October 2024 and October 2025.\n\nThis release is a solicitation by a plaintiff law firm; investors have until June 23, 2026, to seek appointment as lead plaintiff.","sentiment":"neutral","agentHooks":{"shouldPost":false,"suggestedAngle":"Plaintiff-firm solicitation -- suppress."},"keyFigures":{},"quotedText":"If you are an investor who purchased or otherwise acquired Regencell securities during the Class Period, you have until June 23, 2026, to ask the Court to appoint you as Lead Plaintiff for the class.","namedEntities":{"people":[{"name":"Yat-Gai Au","role":"Founder, Chairman, and Chief Executive Officer"},{"name":"Danielle Peyton","role":"Contact at Pomerantz LLP"}],"products":["traditional Chinese medicine (TCM) for ADHD and ASD"],"companies":[{"name":"Regencell Bioscience Holdings Limited","ticker":"RGC","relationship":"defendant"},{"name":"Pomerantz LLP","relationship":"plaintiff law firm"},{"name":"U.S. Department of Justice","relationship":"regulatory body"}],"dollarAmounts":[{"amount":"$0.95 million","context":"research and development costs for the year ended June 30, 2025"},{"amount":"$1.07 million","context":"research and development costs for the year ended June 30, 2024"},{"amount":"$78.00","context":"Class Period high share price on June 17, 2025"},{"amount":"$14 billion","context":"approximate market value of Regencell"},{"amount":"$3.09","context":"share price drop following DOJ subpoena disclosure"},{"amount":"$13.56","context":"closing share price on November 3, 2025"}]},"materialImpact":{"score":1,"reasoning":"Plaintiff law-firm shareholder solicitation issued by Pomerantz LLP. No new disclosure from the issuer; no certified class or settlement announced. Standard lead-plaintiff-deadline reminder."},"tickerRelevance":{"others":[],"primary":"RGC"},"globalImportance":15,"audienceRelevance":10,"eventTypeSecondary":[],"importanceComponents":{"tickerTier":"micro-cap","eventGravity":"law-firm-solicitation","issuerAuthored":false}},"event_type":"legal_litigation","event_type_secondary":null,"sentiment":"neutral","material_impact_score":1,"narrative":"Pomerantz LLP announced a class action lawsuit against Regencell Bioscience Holdings (RGC) alleging violations of federal securities laws related to market manipulation and the company's failure to disclose associated risks.\n\nThe complaint cites the company's receipt of a subpoena from the U.S. Department of Justice in October 2025 and targets investors who purchased securities between October 2024 and October 2025.\n\nThis release is a solicitation by a plaintiff law firm; investors have until June 23, 2026, to seek appointment as lead plaintiff.","key_figures":{},"named_entities":{"people":[{"name":"Yat-Gai Au","role":"Founder, Chairman, and Chief Executive Officer"},{"name":"Danielle Peyton","role":"Contact at Pomerantz LLP"}],"products":["traditional Chinese medicine (TCM) for ADHD and ASD"],"companies":[{"name":"Regencell Bioscience Holdings Limited","ticker":"RGC","relationship":"defendant"},{"name":"Pomerantz LLP","relationship":"plaintiff law firm"},{"name":"U.S. Department of Justice","relationship":"regulatory body"}],"dollarAmounts":[{"amount":"$0.95 million","context":"research and development costs for the year ended June 30, 2025"},{"amount":"$1.07 million","context":"research and development costs for the year ended June 30, 2024"},{"amount":"$78.00","context":"Class Period high share price on June 17, 2025"},{"amount":"$14 billion","context":"approximate market value of Regencell"},{"amount":"$3.09","context":"share price drop following DOJ subpoena disclosure"},{"amount":"$13.56","context":"closing share price on November 3, 2025"}]},"model_name":"glm-4.7","prompt_hash":"sha256:a2703c5a1b5285fe","schema_hash":"sha256:1f8af1196c7db48c","created_at":"2026-05-04T22:15:40.089Z","global_importance":15,"audience_relevance":10,"importance_components":{"tickerTier":"micro-cap","eventGravity":"law-firm-solicitation","issuerAuthored":false}},"durationMs":64305,"modelName":"glm-4.7"}}