Shares of Sharps Technology practically doubled Monday after the medical machine maker introduced a $400 million transfer to fund a brand new treasury technique constructed round Solana’s native token. The inventory jumped 96% from $7.40 to an intraday excessive of $14.53 earlier than easing to $12.01 at this writing.
Sharps signed a letter of intent with the Solana Foundation to buy Solana (SOL) tokens through a non-public funding in public fairness (PIPE) transaction — a sort of financing deal the place accredited buyers purchase shares of a publicly traded firm at a reduction to the present market worth.
The deal, anticipated to shut on or round Aug. 28, would see Sharps purchase $50 million value of SOL tokens at a 15% low cost to their 30-day common worth.
Investors might fund their allocations utilizing locked or unlocked SOL, receiving pre-funded and stapled warrants in return, a construction that ties fairness publicity on to Solana.
Sharps additionally introduced the appointment of Jambo co-founder Alice Zhang as chief funding officer to steer the shift and added James Zhang as a strategic adviser — each well-known figures within the Solana ecosystem.
Related: Galaxy Digital, Multicoin, Jump Crypto plan $1B Solana fund: Report
Health sector firms pivot to crypto treasuries
Crypto treasury firms are publicly traded firms that maintain digital belongings like Bitcoin (BTC) or SOL on their steadiness sheet, giving buyers oblique publicity to crypto belongings via their inventory. The concept was first conceived by Michael Saylor of Strategy in 2020, and has since impressed lots of of firms to comply with go well with.
The mannequin has just lately gained traction within the well being sector, the place a number of small-cap and mid-cap corporations have pivoted into crypto treasuries to diversify and appeal to investor consideration.
In November 2024, Hoth Therapeutics, a New York–primarily based biopharma creating therapies for pores and skin, most cancers and autoimmune ailments, mentioned it will allocate $1 million in Bitcoin as a treasury asset, framing the transfer as an inflation hedge.
In March, the pattern reached Atai Life Sciences, a Nasdaq-listed biopharma creating psychedelic-based psychological well being remedies. Founder Christian Angermayer mentioned the corporate would buy $5 million in Bitcoin, arguing in a Substack put up that drug growth is “cash-hungry” and regulatory approvals can take greater than a decade.
In July, 180 Life Sciences, a biotech engaged on anti-inflammatory therapeutics, rebranded as ETHZilla and introduced plans to construct a $425 million Ether treasury after its inventory had fallen 99%.
Wall Street agency Charles Schwab just lately warned in an academic video that firms “placing massive chunks of money in a traditionally risky asset that isn’t tied to their core enterprise has raised a purple flag or two.”
Magazine: Asia Express: ‘China’s MicroStrategy’ Meitu sells all its Bitcoin and Ethereum
