Decoy's 2.37M-Share Armistice Resale Registration Goes Effective; Cash Runs to Early 2027
DCOY is trading near its 52-week low of $1.15 (1.7% above the low).
Summary
Decoy Therapeutics' resale registration for 2,368,868 Armistice warrant shares is now effective, a block roughly the size of its entire public float. The company gets no proceeds from resales and only ~$7.7M if the $3.25 warrants are exercised for cash, while it says its ~$8.0M in cash lasts only into early 2027.
Key Events · Financing and Capital Events · DCOY
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Resale Registration Effective for 2.37M Shares
The 424B3 covers up to 2,368,868 shares issuable on exercise of New Warrants held by Armistice Capital Master Fund Ltd., issued as consideration for its September 22 exercise of Series B warrants.
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Overhang Roughly Equals Entire Float
The registered block of 2,368,868 shares is about equal to the 2,385,282 shares outstanding as of October 6, 2026; Armistice would still hold 1,998,875 shares (29.6%) after selling all registered shares.
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Company Gets No Resale Proceeds
Decoy receives nothing from Armistice's resales; only cash exercise of the $3.25 New Warrants would raise funds, about $7.7 million if fully exercised (2,368,868 x $3.25), and cashless exercise is permitted.
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Cash Lasts Only Into Early 2027
Cash, equivalents and restricted cash were about $8.0 million at September 30, 2026, with $2.5 million restricted to Gates Foundation development work; management cites substantial going-concern doubt.
Analysis · DCOY · Life Sciences
This 424B3 makes effective the resale registration for 2,368,868 shares underlying the New Warrants issued to Armistice Capital in the September 23 warrant inducement. No shares were sold here, and the company receives nothing from Armistice's resales — it only gets cash if the New Warrants are exercised at $3.25, which would bring in about $7.7 million (2,368,868 x $3.25) but is uncertain since cashless exercise is permitted. Because the registered block is roughly equal to the entire 2,385,282-share public float, the overhang is large and Armistice can sell into the market at any time. Against that, the filing discloses about $8.0 million of cash as of September 30, 2026 ($2.5 million restricted to Gates Foundation work), which management says funds operations only into early 2027 — and the company remains under a Nasdaq panel monitor through March 31, 2027 after prior bid-price and equity non-compliance. With the stock trading near its 52-week low of $1.15, well below the $3.25 warrant strike, near-term cash exercise is unlikely and dilution risk is more about resale pressure than new issuance.
How filings like this one have moved
In the 30 days to Oct 16, 2026, 29.5% of the 1476 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.41%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, DCOY was trading at $1.17 on NASDAQ in the Life Sciences sector, with a market capitalization of approximately $2.8M. The 52-week trading range was $1.15 to $54.00. This filing was assessed with negative market sentiment and an importance score of 7 out of 10.