Deadline Soon: Soleno Therapeutics, Inc. (SLNO) Shareholders Who Lost Money Urged to Contact The Law Offices of Frank R. Cruz About Securities Fraud Lawsuit

LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz reminds investors of the upcoming May 5, 2026 deadline to participate as a lead plaintiff in the securities fraud class action lawsuit filed on behalf of investors who acquired Soleno Therapeutics, Inc. (“Soleno” or the “Company”) (NASDAQ: SLNO) common stock between March 26, 2025 and November 4, 2026, inclusive (the “Class Period”).

IF YOU ARE AN INVESTOR WHO LOST MONEY ON SOLENO THERAPEUTICS, INC. (SLNO), CLICK HERE TO PARTICIPATE IN THE SECURITIES FRAUD LAWSUIT.

What Happened?

On August 15, 2025, activist investor organization Scorpion Capital LLC published a 415-page report regarding Soleno entitled “Russian Roulette With Prader-Willi Children: How The Latest Rare-Disease Price-Gouging Scheme Fleeced the FDA, Parents, And Its Own Study Investigators With A Worthless, Toxic Drug.” The report alleges a number of problems with the Company’s diazoxide choline tablet (“DCCR”), including clinical trial conduct, safety and efficacy concerns, and patient reports of serious adverse reactions following its commercial launch.

On this news, the price of Soleno stock declined $9.27 per share, or 11.98%, over two trading days to close at $68.09 on August 18, 2025, thereby injuring investors.

Then, on September 10, 2025, Soleno filed a Form 8-K with the U.S. Securities and Exchange Commission disclosing that a patient had died after taking DCCR.

On this news, the price of Soleno stock declined $13.49 per share, or 19.21%, over two trading days to close at $56.72 on September 11, 2025, thereby further injuring investors.

Finally, on November 4, 2025, Soleno reported its third quarter 2025 financial results, revealing that the Scorpion Capital report had disrupted DCCR’s launch trajectory and raised concerns within the Prader-Willi syndrome community, in part resulting in a lower number of patient start forms and increased discontinuations beginning after the report’s publication.

On this news, the price of Soleno stock declined $16.98 per share, or 26.59% to close at $46.87 on November 5, 2025, thereby further injuring investors.

What Is The Lawsuit About?

The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors disclose that: (1) the Soleno Phase 3 clinical trial program for DCCR had systematically downplayed, misrepresented, and/or concealed significant evidence of safety concerns potentially related to the administration of DCCR, including issues related to excess fluid retention in clinical trial participants; (2) as a result, the administration of DCCR to treat hyperphagia in individuals with PWS posed materially greater safety risks than disclosed by Soleno or its executives; and (3) consequently, DCCR had materially lower commercial viability and undisclosed risks related to the likelihood of significant and widespread adverse events after its commercial launch, including risks related to patient discontinuation rates, lower patient adoption, prescriber reluctance, adverse regulatory action, and potential reputational and legal fallout; and (4) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.

If you purchased or otherwise acquired Soleno securities between March 26, 2025 and November 4, 2026, the deadline to seek appointment as the lead plaintiff in the securities fraud class action is May 5, 2026.

Contact Us To Participate or Learn More:

If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact us:

Frank R. Cruz
The Law Offices of Frank R. Cruz,
2121 Avenue of the Stars, Suite 800,
Century City, California 90067
Email us at: [e-mail]
Call us at: 310-914-5007
Visit our website at www.frankcruzlaw.com
Follow us for updates on Twitter: twitter.com/FRC_LAW

If you inquire by email, please include your mailing address, telephone number, and number of shares purchased.

To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.