---
schema_version: "secwatch.filing_event.v1"
accession: "0001641172-25-018877"
form_type: "8-K"
ticker: null
cik: "0001106838"
company_name: "Sonnet BioTherapeutics Holdings, Inc."
filed_at: "2025-07-14T23:59:59+00:00"
generated_at: "2026-05-18T06:36:30.274801+00:00"
event_type: "m_and_a"
sentiment: "negative"
materiality_score: 0.9
calibrated_materiality_score: 0.9
confidence: "high"
source: SEC EDGAR
---

# Sonnet BioTherapeutics to merge with Hyperliquid-backed Rorschach; existing holders to own ~1.2% of Pubco

## Summary
- Sonnet stockholders receive 1 Pubco share + 1 CVR per share; Rorschach equityholders contribute ≥$200M HYPE tokens.
- Pubco to hold ~$583M in HYPE tokens and ≥$305M cash at close; $5.5M Initial PIPE plus $2M bridge conversion.
- Post-close, Rorschach/Subscribers own ~98.8% of Pubco; existing Sonnet holders ~1.2% (including PIPE investors).
- Closing expected H2 2025; subject to SEC registration, Nasdaq listing, and Sonnet stockholder approval.
- Chardan Capital Markets receives 7% of gross Closing PIPE proceeds; $2.5M termination fee if Sonnet board changes recommendation.

## SEC filing metadata
- accession: 0001641172-25-018877
- form_type: 8-K
- cik: 0001106838
- company_name: Sonnet BioTherapeutics Holdings, Inc.
- filed_at: 2025-07-14T23:59:59+00:00
- event_type: m_and_a
- sentiment: negative
- materiality_score: 0.9
- calibrated_materiality_score: 0.9
- confidence: high
- sec_items: 1.01, 3.02, 5.02, 5.03, 7.01, 8.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1106838/000164117225018877/0001641172-25-018877-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1106838/000164117225018877/form8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001641172-25-018877
- JSON: https://secwatch.observer/filing/0001641172-25-018877.json
- Plain text: https://secwatch.observer/filing/0001641172-25-018877.txt

## Key facts
- Governance Changes
  Sonnet BioTherapeutics Holdings, Inc.: Filed certificate of designations designating Series 5 Preferred Stock with rights, preferences, and limitations (effective 2025-07-11).
  - Change: charter amendment
  - Effective: 2025-07-11
  source text: the Company filed a certificate of designations (the “Certificate of Designations”) on July 11, 2025, with the Delaware Secretary of State designating the rights, preferences and limitations of the shares of the Series 5 Preferred Stock.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1106838/000164117225018877/0001641172-25-018877-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.