Soleno Therapeutics(US:SLNO) Businesswire·2026-03-11 19:13Core Viewpoint - A class action lawsuit has been filed against Soleno Therapeutics, Inc. (SLNO) for securities fraud, alleging that the company made materially false statements and failed to disclose significant safety concerns regarding its drug DCCR during the class period from March 26, 2025, to November 4, 2026 [1] Group 1: Lawsuit Details - The lawsuit is on behalf of investors who purchased SLNO common stock during the specified class period and have until May 5, 2026, to file a lead plaintiff motion [1] - The complaint alleges that Soleno's Phase 3 clinical trial for DCCR downplayed and concealed safety concerns, leading to materially greater risks than disclosed [1] - The lawsuit claims that positive statements made by Soleno regarding its business and prospects were materially misleading and lacked a reasonable basis [1] Group 2: Stock Price Impact - Following the publication of a critical report by Scorpion Capital on August 15, 2025, Soleno's stock price fell by $9.27 per share, or 11.98%, closing at $68.09 on August 18, 2025 [1] - After a patient death linked to DCCR was disclosed on September 10, 2025, the stock price dropped by $13.49 per share, or 19.21%, closing at $56.72 on September 11, 2025 [1] - On November 4, 2025, Soleno reported that the Scorpion Capital report had disrupted DCCR's launch, resulting in a further decline of $16.98 per share, or 26.59%, closing at $46.87 on November 5, 2025 [1] Group 3: Company Background - Soleno Therapeutics is focused on developing treatments for rare diseases, specifically targeting Prader-Willi syndrome with its drug DCCR [1] - The company has faced significant scrutiny regarding the safety and efficacy of its drug, which has impacted investor confidence and stock performance [1]