Investigation Launched Into Soleno Therapeutics Amid Allegations of Securities Fraud

On October 18, 2025, Pomerantz LLP, a well-known law firm with a rich history in corporate and securities litigation, announced it is probing claims on behalf of investors in Soleno Therapeutics, Inc. (NASDAQ: SLNO). The focus of this investigation is centered on allegations that Soleno and several of its executives may have engaged in securities fraud or other unlawful business practices, which could have severely impacted the company and its investors. As investors look for answers and accountability, they are advised to reach out to Danielle Peyton at Pomerantz for more information on how they can join the efforts.

The impetus for the investigation comes after Scorpion Capital published a report on August 15, 2025, criticizing Soleno's primary product, Vykat XR, labeling it as excessively priced and potentially unsafe for children. Following the release of this report, Soleno's stock underwent a significant downturn, plummeting by $5.73 per share or approximately 7.41%, ultimately closing at $71.63. This dramatic decrease has raised alarms among investors, many of whom are now seeking legal recourse.

Pomerantz LLP, founded by Abraham L. Pomerantz, often referred to as the dean of the class action bar, has built a reputation over 85 years for its dedication to representing victims of securities fraud and corporate misconduct. The firm has recovered substantial damages for its class members in past cases and remains committed to its mission of fighting for justice in the financial markets. For those affected by the recent developments at Soleno, the potential for recourse through a class action lawsuit may provide a pathway to recover losses.

As the investigation unfolds, stakeholders are keeping a close watch on Soleno's response to the allegations. The firm’s executives will likely be scrutinized for their involvement in the decisions leading to the production and marketing of Vykat XR. The implications of the Scorpion Capital report bring a heightened sense of urgency for the company to address the concerns raised and regain investor trust.

For investors, this scenario acts as a stark reminder of the inherent risks involved in investing, particularly in companies still in the developmental phase, such as those producing therapeutics for children. The situation at Soleno underscores the critical importance of due diligence and transparency in the corporate environment.

Moving forward, interested investors are encouraged to stay informed on the progress of Pomerantz LLP's findings as the firm seeks to protect the rights of those impacted by possible securities fraud. By joining the class action or approaching legal advisory, investors may mitigate the effects of the alleged misconduct. This case highlights not only the potential pitfalls within the biotechnology sector but also reveals the powerful role of legal institutions in providing remedies in the financial landscape.

In conclusion, as Pomerantz LLP continues its investigation into Soleno Therapeutics, the unfolding events will be significant not only for those directly impacted but also for the broader market, which will be watching for a resolution that could set precedents in similar cases. Investors should remain vigilant and proactive in seeking out information and consider consulting legal professionals to discuss the potential for joining the action against the company.

Topics Financial Services & Investing)

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