Levi & Korsinsky Reminds Regencell Bioscience Holdings Investors of the Pending Class Action Lawsuit With a Lead Plaintiff Deadline of June 23, 2026 - RGC

Alert: Claims Focus on Alleged Misrepresentations About Regencell's $1 Million R&D Budget Versus $14 Billion Market Valuation

NEW YORK, May 6, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP reminds purchasers of Regencell Bioscience Holdings Limited (NASDAQ: RGC) securities of a pending securities class action.

THE CASE: A class action was filed, seeking to recover damages for investors who purchased Regencell securities between October 28, 2024 and October 31, 2025.

YOUR OPTIONS: You may be entitled to compensation without payment of any out-of-pocket fees. See if you can recover losses or contact Joseph E. Levi, Esq. at [email protected] or (212) 363-7500.

Regencell's ordinary shares fell $3.09 per share, or 18.56%, to close at $13.56 on November 3, 2025, after the Company disclosed a U.S. Department of Justice subpoena and investigation into trading in its shares. Investors have until June 23, 2026 to seek lead plaintiff status.

A Bioscience Company Without Revenue or Approved Products

A bioscience company cannot bring a drug to market without sustained, large-scale research investment. The complaint recounts that Regencell spent approximately $0.95 million on research and development for the fiscal year ended June 30, 2025, and $1.07 million for the prior year. These figures are striking given that Regencell's own SEC filings acknowledged that the average cost to bring a new medicine from R&D to marketplace is "nearly $4 billion, and can sometimes exceed $10 billion." Despite this admitted gap, the Company carried a market valuation of approximately $14 billion.

The Alleged $14 Billion Valuation Disconnected From Fundamentals

As detailed in the action, Regencell operated with twelve employees, generated zero revenue, had no approved or salable products, and had incurred operating losses since its formation. Yet its share price surged from under $0.30 to a Class Period high of $78.00 per share on June 17, 2025, representing a 48,650% increase. The Wall Street Journal noted in January 2026 that only 20 of the 261 companies in the Nasdaq Biotechnology Index had a greater market value than Regencell.

Alleged Operational Disconnects by the Numbers

• Regencell's total R&D spend across both fiscal years was approximately $2.02 million combined, while its own filings stated new drug development costs average $4 billion to $10 billion
• The Company employed just twelve people while pursuing treatments for ADHD and ASD, conditions widely considered incurable under current medical consensus
• Regencell generated no revenue and had no products approved for sale at any point during the Class Period
• Defendant Yat-Gai Au held 88.6% of outstanding shares, leaving a minimal public float
• A 38-for-1 stock split in June 2025 was described as intended to "enhance liquidity" and "make the shares more accessible to investors," yet the share price nearly quadrupled in the days surrounding the split
• The Company's $14 billion market valuation exceeded that of the vast majority of companies in the Nasdaq Biotechnology Index

Calculate your potential recovery or call (212) 363-7500.

"The complaint raises serious questions about whether investors received accurate information regarding the fundamental disconnect between Regencell's operational scale and the extraordinary valuation its shares commanded during the Class Period," stated Joseph E. Levi, Esq.

Levi & Korsinsky, LLP represents shareholders in securities class actions nationwide, with a track record of recovering hundreds of millions for investors. Over 70 professionals. Ranked among ISS Top 50 for seven consecutive years.

Frequently Asked Questions About the RGC Lawsuit

Q: Who is eligible to join the RGC investor lawsuit? A: Investors who purchased RGC stock or securities between October 28, 2024 and October 31, 2025 and suffered financial losses may be eligible. Eligibility is based on purchase date and documented losses, not on whether you still hold the shares.

Q: How much did RGC stock drop? A: Shares fell approximately 18.56%, a decline of $3.09 per share, after the Company disclosed a DOJ subpoena and investigation into trading in its ordinary shares. Investors who purchased shares during the class period at artificially inflated prices may be entitled to compensation.

Q: What do RGC investors need to do right now? A: Gather brokerage records including purchase dates, share quantities, and prices paid. Contact Levi & Korsinsky for a free, no-obligation evaluation at [email protected] or (212) 363-7500. No immediate action is required to remain eligible as a class member.

Q: What if I already sold my RGC shares, can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold them. Investors who bought during the class period and sold at a loss may still participate.

Q: Do I need to go to court or give testimony? A: No. The overwhelming majority of class members never appear in court or give depositions. You submit a claim form to receive your portion of recovery.

Q: What does it cost me to participate? A: Nothing. Securities class actions are handled on a pure contingency basis. No upfront fees, no retainer, no out-of-pocket costs.

Q: What if I missed the lead plaintiff deadline? A: The deadline applies only to investors seeking lead plaintiff appointment. Class members who miss it can still participate in any settlement or recovery.

CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
[email protected]
Tel: (212) 363-7500
Fax: (212) 363-7171

SOURCE Levi & Korsinsky, LLP