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INVESTOR ALERT: Pomerantz Law Firm Investigates Claims on Behalf of Investors of Vanda Pharmaceuticals Inc. - VNDA

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NEW YORK, Jan. 20, 2026 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of inves...

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AI Summary

Pomerantz LLP is investigating Vanda Pharmaceuticals for potential securities fraud following the FDA's rejection of HETLIOZ® for treating jet lag. The stock fell 14.05% after the announcement, indicating investor concern over the company's future and possible legal repercussions.

Sentiment Rationale

The significant FDA rejection and potential legal actions are likely to deter investors, similar to past cases where litigation concerns severely impacted stock prices.

Trading Thesis

Vanda is likely to face continued volatility, recommend a cautious short-term outlook.

Market-Moving

  • FDA's rejection of HETLIOZ® raises concerns over Vanda's product pipeline.
  • Ongoing investigation could spark further selling pressure on VNDA stock.
  • Class action implications could reduce investor confidence in Vanda's management.
  • Short-sellers may increase positions given current sentiment.

Key Facts

  • Pomerantz LLP investigates Vanda for potential securities fraud.
  • Vanda's HETLIOZ® rejected by FDA for jet lag treatment.
  • FDA cited insufficient evidence from clinical trials.
  • Vanda's stock dropped 14.05% following FDA news.
  • Class action possible against Vanda's officers and directors.

Companies Mentioned

  • Vanda Pharmaceuticals Inc. (VNDA): Facing potential securities fraud claims and negative stock price pressure.

Corporate Developments

This falls under 'Corporate Developments' due to the investigation and FDA's actions affecting Vanda's operations and market perception.

Investor Alert: Pomerantz Law Firm Investigates Vanda Pharmaceuticals Inc. - VNDA

NEW YORK, Jan. 20, 2026 (GLOBE NEWSWIRE) — Pomerantz LLP has announced the initiation of an investigation on behalf of investors in Vanda Pharmaceuticals Inc. (“Vanda” or the “Company”) (NASDAQ: VNDA). The inquiry aims to uncover whether Vanda and its executives have engaged in securities fraud or other unlawful business practices. Interested investors are encouraged to contact Danielle Peyton at newaction@pomlaw.com or call 646-581-9980, ext. 7980.

Details of the Investigation

The investigation was prompted by significant news released on January 8, 2026, when Vanda announced that it had received a decision letter from the U.S. Food and Drug Administration (FDA) regarding its supplemental New Drug Application (sNDA) for HETLIOZ® (tasimelteon), which is intended for treating jet lag disorder. The FDA concluded that the sNDA could not be approved in its current form.

  • The FDA acknowledged the positive efficacy from Vanda's controlled clinical trials.
  • However, the FDA determined that there was insufficient evidence to demonstrate effectiveness for jet lag disorder.
  • The FDA's reasoning highlighted that the clinical trial protocols (5-hour and 8-hour bedtime shifts) did not adequately simulate actual jet travel.
  • Factors such as reduced oxygen pressure, physical constraints, noise, and lighting changes were emphasized as critical elements not reflected in the trials.

Impact on Vanda Pharmaceuticals' Stock

Following the announcement, Vanda's stock price experienced a notable decline. Shares dropped by $1.20, or 14.05%, closing at $7.34 per share on January 8, 2026. This reflects a significant market reaction to the FDA's decision and potential implications for Vanda’s future revenue and growth prospects.

About Pomerantz LLP

Pomerantz LLP is a leading law firm recognized for its work in corporate, securities, and antitrust class litigation. With offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, the firm has a storied history in advocating for victims of securities fraud and corporate misconduct. Established by the late Abraham L. Pomerantz, the firm has successfully recovered substantial damages for class members over its 85-year presence in the industry.

For more information on Pomerantz LLP's investigation into Vanda Pharmaceuticals (NASDAQ: VNDA), please visit www.pomlaw.com.

Contact: Danielle Peyton
Pomerantz LLP
dpeyton@pomlaw.com
646-581-9980 ext. 7980

Attorney advertising. Prior results do not guarantee similar outcomes.

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