news 
Title: Sonnet BioTherapeutics, Inc. Stock Soars 218% Amid $888M Hyperliquid Merger Deal
In a stunning turn of events, Sonnet BioTherapeutics, Inc.’s stock has skyrocketed by an astonishing 218% in pre-market trading, with the company’s shares reaching highs above $20 before settling at around $16.47 per share. This massive surge follows the announcement of a transformative $888 million merger with Rorschach I LLC to rebrand as Hyperliquid Strategies Inc., catapulting Sonnet BioTherapeutics into the crypto treasury space.
The proposed deal, which has been approved by the board and awaits shareholder consent and regulatory clearances, will see HSI become a rare example of a publicly traded company holding significant digital asset reserves centered around the HYPE token. This unprecedented move marks a dramatic shift for the Nasdaq-listed biotechnology firm, pivoting its focus from oncology assets to blockchain-based crypto treasury operations.
The merger’s financial implications are substantial, with the combined entity boasting a valuation of approximately $888 million upon completion in the second half of 2025. Notably, this move sees Sonnet BioTherapeutics transition from its current biotechnology profile to a cryptocurrency-focused entity, solidifying HSI’s standing as an industry pioneer.
The strategic alliance is backed by Atlas Merchant Capital and Paradigm Operations, which will provide capital and strategic oversight for the newly formed Hyperliquid Strategies Inc. The merger agreement includes plans to maintain Sonnet’s oncology unit as a subsidiary under HSI while transitioning the core strategy to digital asset management.
As part of this rebranding effort, CEO David Schamis will be joining forces with Atlas co-founder Bob Diamond, who will take on the role of Chairman for Hyperliquid Strategies Inc. The appointment also includes former Boston Fed president Eric Rosengren joining the board.
This substantial price increase comes amid heightened market interest and speculation surrounding the crypto treasury model, which sees companies hold digital assets as a means to generate revenue and diversify their investment portfolios.
Source: coincentral.com
