SCHEDULE: CVI Investments, Heights Capital Report 9.9% Stake in Decoy Therapeutics

CVI Investments, Inc. and Heights Capital Management, Inc. have disclosed a 9.9% beneficial ownership stake in Decoy Therapeutics Inc., primarily through warrants.

Summary

• CVI Investments, Inc. and Heights Capital Management, Inc. (collectively, 'Reporting Persons') have filed an Amendment No. 1 to Schedule 13G regarding their beneficial ownership in Decoy Therapeutics Inc. (f/k/a Salarius Pharmaceuticals, Inc.).
• The Reporting Persons collectively beneficially own 708,565 shares of Decoy Therapeutics' common stock, representing 9.9% of the class.
• This ownership primarily consists of shares issuable upon the exercise of warrants.
• The warrants are subject to a limitation, preventing their exercise if the total beneficial ownership by a Reporting Person and its affiliates would exceed 9.99%.
• Heights Capital Management, Inc. serves as the investment manager to CVI Investments, Inc. and may exercise shared voting and dispositive power over the reported shares.
• The filing certifies that the securities were not acquired or held for the purpose of changing or influencing the control of the issuer, nor in connection with any transaction having that purpose or effect, other than activities solely related to a nomination under Rule 14a-11.
• As of December 26, 2025, Decoy Therapeutics Inc. had 6,384,177 shares outstanding, as indicated in its Definitive Proxy Statement on Schedule 14A filed on January 9, 2026.

Sentiment

Score: 6

Explanation: StockSavvy.ai views this as a moderately positive signal. While a 13G is a regulatory disclosure, the significant 9.9% stake by institutional investors, even if passive, can be interpreted as a vote of confidence in Decoy Therapeutics.

Positives

• Significant institutional ownership by CVI Investments, Inc. and Heights Capital Management, Inc. (9.9%) may signal confidence in Decoy Therapeutics Inc.'s long-term prospects.
• The investment is primarily through warrants, indicating a prior strategic investment decision by these institutional entities.

Risks

• The filing explicitly states that the securities were not acquired for the purpose of changing or influencing the control of the issuer, mitigating the risk of immediate activist intervention or a hostile takeover from these specific reporting persons.

Future Outlook

This filing is a disclosure of beneficial ownership and does not contain forward-looking statements or guidance from Decoy Therapeutics Inc. regarding its operations or financial performance. The reporting persons have certified that their acquisition of securities is not for the purpose of changing or influencing the control of the issuer.

Industry Context

StockSavvy.ai notes that institutional filings like Schedule 13G provide transparency into significant ownership stakes, which can influence market perception of a company. A 9.9% stake by investment firms like CVI Investments and Heights Capital Management in a biotechnology company like Decoy Therapeutics indicates a notable level of institutional interest, common in sectors requiring substantial capital and long-term development.

Stakeholder Impact

• Shareholders: The disclosure of a significant institutional stake may positively influence market sentiment and potentially attract further investor interest.
• Management: Awareness of a large, passive institutional holder may influence strategic decisions, though the filing explicitly disclaims intent to influence control.

Key Dates

Keywords

Decoy Therapeutics Inc., Salarius Pharmaceuticals Inc., CVI Investments Inc., Heights Capital Management Inc., Beneficial Ownership, Schedule 13G, Common Stock, Warrants, Institutional Investment, SEC Filing