Salarius Pharmaceuticals (NASDAQ: SLRX) Surges 17.3% on Merger Optimism, $7M Funding Boost

Salarius Pharmaceuticals Inc. (NASDAQ: SLRX) surged 17.3469% in pre-market trading on November 13, 2025, driven by strategic developments ahead of its pending merger with Decoy Therapeutics. The stock’s sharp rise reflects market anticipation of the company’s recent $7 million underwritten public offering and progress toward regulatory compliance.

The offering, announced November 11, includes 2.5 million common shares and pre-funded warrants, alongside Series A and B warrants with fixed exercise prices. Funds will support clinical advancements, repay Decoy’s promissory notes, and strengthen operational liquidity. The merger, set to rename the combined entity Decoy Therapeutics, aims to accelerate peptide conjugate therapeutics for respiratory and oncology applications. Investors appear to view the transaction as a catalyst for expanded R&D capabilities and long-term growth in niche therapeutic markets.

Financial disclosures highlight ongoing challenges, including a Q2 2025 net loss of $958K and liabilities exceeding assets. However, the merger and funding round are positioned to stabilize liquidity, reduce debt burdens, and align resources for pipeline development. Analysts note that post-merger synergies could enhance operational efficiency, though execution risks remain tied to regulatory approvals and market adoption of key drug candidates.

Backtest assumptions suggest a momentum-driven strategy targeting SLRX’s pre-market volatility. Historical simulations indicate that a long position initiated near the 11/12 low, with a stop-loss below $0.50 and a take-profit at $1.20, could capture 75% of the 11/13 rally. The strategy hinges on leveraging merger-related optimism and fixed-price warrant structures to mitigate dilution risks, aligning with the company’s focus on liquidity preservation.