Solana treasury demand and ETF inflows rise as Helius plans $1.25 billion SOL offering

Solana (SOL) experienced a surge in corporate acquisition activity on Monday, following a $1.25 billion offering from Helius Medical Technologies (HSDT) and a 6.8 million SOL purchase by Forward Industries. The purchase coincides with a rise in institutional demand over the past week as SOL investment products recorded $198 million in weekly net inflows.

Solana demand picks up amid ETF inflows and strong treasury purchases

Helius Medical Technologies wants to raise $1.25 billion to launch a Solana treasury, according to a statement on Monday.

The deal, led by investment firms Pantera Capital and Summer Capital, comprises over $500 million in potential proceeds from a private investment in public equity (PIPE) deal and $750 million from a sales offering.

The offerings are expected to end on Thursday, subject to closing conditions. Following the close of the offering, the company will be chaired by Joseph Chee, Founder and Chairman of Summer Capital, who will also serve as Executive Chairman.

"Our thesis is that all capital markets transactions, from tokenization to payments, are moving onto blockchain rails, and Helius aims to bridge public markets with the Solana network, where we expect the majority of that activity to take place," said Chee.

Helius Medical Technologies shares gained nearly 160% on Monday following the announcement.

Meanwhile, Forward Industries (FORD) announced on Monday that it has purchased 6.8 million SOL, valued at $1.5 billion. The company made the purchase using proceeds from its recently closed $1.65 billion PIPE financing, led by Galaxy Digital, Jump Crypto and Multicoin Capital.

The rise in SOL treasuries coincides with an increase in institutional demand for the Layer-1 token.

Solana exchange-traded products (ETPs) saw a record single-day inflow of $145 million last week, lifting its total weekly inflows to $198 million, according to data from CoinShares.

The surge underscores growing demand from traditional investors and has fueled optimism for the potential approval of spot Solana ETFs in the US. Coupled with increased accumulation from corporate entities, SOL could see price rise in the coming months, according to Bitwise.

In a note to investors last week, Bitwise CIO Matt Hougan projected that Solana could see an end-of-year rally spurred by institutional demand.

SOL is down 6% over the past 24 hours, despite recent developments.