Salarius Pharmaceuticals, Inc. (SLRX), a company in the clinical-stage of developing cancer therapies, announced on Monday its merger with Decoy Therapeutics, Inc., a private, preclinical biopharmaceutical entity that specializes in advanced peptide conjugate therapeutics.
According to the terms of the agreement, Decoy Therapeutics will merge with a fully owned subsidiary of Salarius, and the resultant company will adopt the name Decoy Therapeutics.
This merger is anticipated to unlock multiple value-driven opportunities by harnessing Decoy's innovative pipeline. Decoy's IMP3ACT platform is central to this, enabling the rapid design and production of peptide conjugates.
The newly formed company also plans to incorporate Salarius' oral small molecule protein degrader, SP-3164, into a targeted peptide-based drug known as proteolysis-targeting chimeras (PROTACs). This endeavor aims to augment the therapeutic potential of protein degradation technologies for treating diseases such as cancer.
Furthermore, it has been agreed that upon finalizing the merger and subject to shareholder approval of the preferred stock conversion, the new Board of Directors will comprise Rick Pierce, Barbara Hibner, and three independent directors, with two selected by Decoy’s Board and one by Salarius’ Board.
Following the merger and the conversion of preferred shares into common stock by shareholders, it is expected that Decoy's investors will hold approximately 86% of the new entity, while Salarius shareholders will own about 14%, exclusive of any shares that may be issued in forthcoming financings.
Currently, SLRX shares are trading at $4.05, marking an increase of 160.26 percent, or $2.50, on the Nasdaq.
