Extreme hunger drugmaker Soleno jumps on potential acquisition by Neurocrine

Shares of Soleno Therapeutics, the developer of the first therapy for insatiable hunger, surged nearly 30% in early trading on Monday to $51.30 per share after Neurocrine Biosciences was reported to be nearing a more than $2.5 billion acquisition of the company, the FT wrote, citing people familiar with the matter.

Soleno rose 29.9% in the first minutes of early trading on Monday to $51.30 per share.

Markets were reacting to the FT report, which said Neurocrine is in advanced talks to acquire Soleno. According to the FT, the companies could announce a deal valuing the small cap biotech at more than $2.5 billion, or $50-55 per share, as soon as Monday.

For comparison, Soleno’s market capitalization stood at $2.1 billion on Friday, with the stock at $39.50 per share, implying at least a 39% premium.

Representatives of the companies did not immediately respond to requests from the FT.

Soleno develops treatments for rare genetic disorders. One of its drugs, Vykat XR, is designed to treat Prader-Willi syndrome, a congenital condition in which patients experience a constant sense of hunger and never feel satisfied, often leading to overeating and, over time, to diabetes, obesity, and cardiovascular disease.

Vykat XR became the first treatment in this area to win approval from the U.S. Food and Drug Administration. The regulatory decision in March 2025 sent Soleno shares up 38%, marking the biggest one-day gain since September 2023 and lifting the stock to its highest level in more than eight years.

RBC Capital Markets analyst Brian Abrahams described the development of Vykat XR as “somewhat of a journey.”

Mid-sized drugmakers such as Neurocrine are increasingly competing with large pharmaceutical groups for assets, the FT wrote. Citing data from Dealogic, the FT said U.S. biotech deals totaled $63.3 billion in the first three months of 2026, the fifth-best quarter for mergers and acquisitions in the sector over the past decade.

An acquisition of Soleno would be Neurocrine’s first sizeable deal, adding a drug that could generate as much as $2.3 billion in annual revenue at peak, according to analysts at HC Wainwright. From its launch in March 2025 through the end of the year, Vykat XR generated $190 million in sales, the FT added.

Soleno has fallen nearly 15% year to date. The stock is covered by 13 analysts, all of whom rate it “buy.” The average target price stands at $105.20 per share, implying roughly 170% upside.