Sonnet BioTherapeutics Announces $888M Business Partnership for HYPE Crypto Treasury
The new treasury, Hyperliquid Strategies Inc. (HSI), is expected to hold a total of HYPE tokens worth $888 million, including about 12.6 million HYPE tokens worth $583 million and $305 million in gross cash.
Sonnet BioTherapeutics, a prominent biotech firm, has announced its expansion into the crypto space through a significant business combination worth $888 million.
The biotech company will be partnering with Rorschach I LLC, a special-purpose entity backed by Atlas Merchant Capital and Paradigm, to launch a HYPE cryptocurrency treasury reserve strategy, leveraging the Hyperliquid Layer-1 blockchain. Other prominent investors include Paradigm, Galaxy Digital, and Pantera Capital.
Sonnet BioTherapeutics will utilize the $888 million in funding to support its new crypto treasury strategy, thereby expanding the company’s financials and operations. The platform will continue to operate as a wholly-owned subsidiary, maintaining its core operations and developing biotech assets, including SON-1010.
Introducing Hyperliquid Strategies Inc. With Sonnet BioTherapeutics
The new HYPE treasury, named Hyperliquid Strategies Inc. (HSI), is awaiting approval by Sonnet stockholders and customary closing conditions, with its launch date expected to be in the coming months.
Following its launch, HSI will become a public crypto treasury firm listed on the Nasdaq Capital Market under a new ticker symbol and will hold approximately 12.6 million HYPE tokens valued at $583 million and $305 million in gross cash, totaling $888 million.
Rorschach’s existing stakeholders and new investors will own about 98.8% of HSI, while existing Sonnet stockholders will own around 1.2%.
HSI will also accept Bob Diamond, Co-founder and CEO of Atlas, as the Chairman of the Board. Meanwhile, David Schamis, the CIO and Co-founder of Atlas, will become the CEO of HSI.
Concerning the business combination, Diamond commented, “We are delighted by this opportunity to partner with Sonnet in establishing a leading crypto treasury management strategy to deliver strong value to shareholders ultimately. We believe HYPE and the Hyperliquid protocol represent a truly differentiated offering within the digital asset space. We believe Hyperliquid Strategies will be well-placed to maximize these opportunities because of our unique team of investors and operators with deep, relevant crypto and financial services experience.”
HYPE Ecosystem Gets Major Boost
The business combination aims to place Sonnet BioTherapeutics as a major player in the cryptocurrency space, with a focus on HYPE crypto treasury management.
In a recent development, Hyperliquid delisted Solana memecoin JELLYJELLY, one of the tokens on its blockchain, after an exploit that led to a $12 million loss.
