Evernorth Holdings (NASDAQ: XRPN) has secured a committed equity facility potentially worth approximately $80 million to support additional XRP acquisitions and development across the XRP ecosystem.
The company announced Monday that it entered into a common stock purchase agreement with CF Principal Investments LLC, an affiliate of Cantor Fitzgerald, allowing it to sell up to 5,218,935 Class A common shares.
Based on XRPN’s closing share price on October 22, the facility could generate approximately $80 million in gross proceeds if fully utilized.
Evernorth said the capital could be used to expand its XRP holdings, fund product development within the XRP ecosystem and support general corporate operations.
“This represents our first step in putting facilities in place to help grow and manage our treasury in an accretive manner for shareholders,” said Matt Frymier, Evernorth’s chief financial officer.
The agreement provides Evernorth with access to additional capital as market conditions permit, rather than an immediate $80 million cash injection. Actual proceeds will depend on the number of shares sold and their prices at the time of issuance.
The company also said it may pursue additional equity facilities and other financing arrangements to support its treasury strategy.
Evernorth expands XRP strategy following Nasdaq debut
The financing comes weeks after Evernorth completed its business combination with Armada Acquisition Corp. II on October 9, with its shares beginning trading on Nasdaq under the ticker XRPN on October 12.
The transaction followed the company’s earlier announcement that its business combination and associated private placements had attracted more than $1 billion in capital and XRP contributions.
Evernorth previously disclosed plans to establish a treasury holding approximately 473 million XRP, positioning it among the largest publicly traded companies focused on the cryptocurrency.
On October 14, the company announced partnerships with Ripple, Kraken, Coinbase and BitGo to support the deployment of its XRP holdings through institutional infrastructure.
Unlike companies that hold cryptocurrencies solely as treasury reserves, Evernorth aims to increase its XRP holdings per share through staking where available, institutional and decentralized finance yield strategies, and participation in the XRP ecosystem.
The company also recently appointed Hugo Jeandesboz as chief investment officer to oversee its digital asset treasury operations.
According to its SEC prospectus, Evernorth will determine when to sell shares under the facility based on market conditions and its capital requirements.
Disclosure: This article was edited by Estefano Gomez. For more information on how we create and review content, see our Editorial Policy.