Sona Nanotech Defeats Investors’ Covid Saliva Test Failures Suit

Sona Nanotech Inc. is free of accusations it made misleading statements about its attempt to develop a saliva-based coronavirus test after a federal judge in California said investors failed to identify actionable misrepresentations or omissions.

Investors say the Canadian company misled them about a clinical trial for its rapid antigen tests. The would-be class complaint didn’t properly allege Sona intentionally misrepresented or omitted information, the U.S. District Court for the Central District of California said.

The investors challenged some Sona statements from April and June 2021 about the clinical trial’s start, progress, and failure, but those statements are “literally ...