#United States #New York #Faruqi & Faruqi #Soleno Therapeutics #SLNO

Important Notice for Soleno Therapeutics Investors

Faruqi & Faruqi, LLP, a prominent national securities law firm, is alerting investors about a critical deadline for a securities class action lawsuit related to Soleno Therapeutics, Inc. (NASDAQ: SLNO). Investors holding shares of Soleno between March 26, 2025 and November 4, 2025 are encouraged to examine their legal rights due to allegations against the company regarding potential false representations and safety concerns surrounding its drug candidate, DCCR.

Background on the Allegations

The legal action stems from accusations that Soleno and its executive team violated federal securities laws. The claims highlight three main issues:
1. Underreporting Safety Concerns: It is alleged that during the Phase 3 clinical trial of DCCR, significant safety concerns were downplayed or concealed, particularly regarding excess fluid retention among trial participants.
2. Misrepresentation of Commercial Viability: Documents suggest that Soleno did not adequately disclose the material safety risks associated with DCCR, affecting its commercial viability in treating hyperphagia in patients with Prader-Willi syndrome (PWS).
3. Investor Impact Post-Disclosures: Following a critical report from Scorpion Capital in August 2025, Soleno's stock price experienced substantial declines, pointing to investor repercussions related to safety and efficacy claims surrounding DCCR.

On August 15, 2025, the Scorpion Capital report highlighted serious concerns regarding the drug's overall safety and clinical trial transparency. Following this report, Soleno’s share price plummeted from over $77 per share to about $68, a nearly 12% decrease in just two days. This trend continued when, on September 10, 2025, Soleno disclosed that a patient had died during the trial, further plunging stock prices by 19% within just two more days of trading.

On November 4, 2025, Soleno released its financial results, indicating that the aforementioned report adversely affected the drug’s launch trajectory, which led to fewer patient enrollments and increased patient discontinuation rates. This announcement caused another substantial decrease in stock value, plummeting to approximately $47 per share, marking a 27% fall in one trading session.

How to Get Involved

With the impending deadline of May 5, 2026, for investors to seek lead plaintiff status, Faruqi & Faruqi encourages those impacted by the alleged misrepresentations to reach out directly. The lead plaintiff typically represents the interests of all class members in the lawsuit, ensuring collective action against Soleno Therapeutics.

Those who suffered losses from investments in Soleno can call Josh Wilson, a Senior Partner at Faruqi & Faruqi, at 877-247-4292 or 212-983-9330 (Ext. 1310) for more information about their potential legal options. Investors can also visit Faruqi & Faruqi's dedicated webpage to learn more about the class action.

Conclusion

As the date approaches, it's vital for affected Soleno investors to explore their legal rights. With notable allegations and concerning stock performance following the reported issues, it is important to act swiftly. Faruqi & Faruqi remains committed to representing the interests of investors in achieving justice and preserving their rights. Stay informed and proactive as you navigate this complex situation.