BTC

$92188.279

-1.46%

ETH

$3124.038

-1.01%

BNB

$898.084

-1.70%

XRP

$2.094

-4.98%

XRP

$2.094

-4.98%

News

Sequans Unveils $384M Investment to Launch Bitcoin Treasury Strategy

2 mins mins

Highlights:

  • Sequans plans to raise $384 million through equity and debt offerings for a Bitcoin-focused treasury strategy.
  • Swan Bitcoin will manage and advise on the Bitcoin acquisition process.
  • Core IoT business operations will continue alongside the digital asset initiative.

Sequans Communications has announced a $384 million investment plan to initiate a Bitcoin treasury strategy. The company aims to diversify its reserves while continuing to develop its core semiconductor and IoT business.

Bitcoin Strategy and Treasury Expansion

Sequans will launch a Bitcoin treasury initiative using capital from two private placements. The company plans to raise $195 million through equity and $189 million in secured convertible debt. The full amount will support Bitcoin acquisition and treasury operations.

Swan Bitcoin will assist in managing the treasury, handling execution and planning. This move reflects growing interest among technology companies in crypto-based financial strategies. The initiative is expected to close by early July, pending shareholder approval.

Private Placement Structure

The equity portion will issue over 1.39 billion ordinary shares and related warrants priced at $1.40 per ADS. These include 139 million American Depositary Shares and additional warrants exercisable within 90 days of closing.

The debt placement involves $189 million in secured convertible debentures and more warrants tied to share purchases. All offerings are exempt from U.S. registration and follow Section 4(a)(2) of the Securities Act.

Lead placement agents include Northland Capital Markets and B. Riley Securities, with Yorkville Securities also participating. Legal advisory is provided by Lowenstein Sandler, ARCHERS, and Goodwin Procter.

Continued Focus on IoT

Sequans emphasized that its core 4G and 5G IoT roadmap remains unchanged. The company continues to support global IoT applications through LTE-M, NB-IoT, and 5G platforms.

These solutions remain central to its strategy, with enhancements in power efficiency and network scalability. Sequans maintains global operations across the U.S., Europe, and Asia.

Sequans shares rose 9% pre-market following the announcement. At the same time, the NYSE notified the company of a listing compliance issue. The firm plans to address this during its June 30 shareholder meeting.

Resale registration statements will be filed as part of investor agreements. The company seeks to balance treasury diversification with regulatory compliance and continued IoT innovation.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Rate this post

Other Posts: