Evernorth, a treasury company built around XRP, has cleared the last hurdle before its Nasdaq debut after shareholders approved its merger with Armada Acquisition Corp. II. The deal and related fundraising have pulled in more than $1 billion, and the company expects to hold about 473 million XRP at closing.
Shareholders clear the merger
Shareholders of Armada Acquisition Corp. II, the blank-check company merging with Evernorth, voted to approve the business combination at a meeting Sept. 30. The deal is expected to close Oct. 7, with Evernorth's Class A common stock set to begin trading Oct. 8 under the ticker "XRPN".
The merger and related fundraising have pulled in more than $1 billion. The transaction is expected to generate roughly $300 million in gross cash proceeds, including $225 million from private placements, $30 million in convertible note financing and about $48 million in trust proceeds, before expenses.
A 473 million XRP treasury
Investors also contributed XRP directly, and at closing Evernorth expects to hold about 473 million XRP, which it says would make it the largest publicly traded pure-play XRP treasury company. The firm said 100% of its committed funders are participating.
According to Evernorth founder and CEO Asheesh Birla: "Going public will offer investors a regulated, transparent way to own XRP exposure".
Evernorth is backed by a roster of crypto heavyweights, including Ripple, Pantera Capital, Kraken, SBI Group, GSR and Arrington Capital. The company first unveiled its plan to go public around a $685 million XRP stash, part of a Ripple-backed effort to raise $1 billion to accumulate the token. It cleared SEC review when its registration statement took effect in late August.
Joining the crypto-treasury trend
The listing adds XRP to the digital-asset treasury trend, in which public companies raise capital to stockpile a single crypto asset and tie their share price to it, a model pioneered by Michael Saylor's Strategy with Bitcoin. Evernorth said it intends to grow its XRP per share over time through yield strategies, ecosystem participation and capital-markets activity.
That structure carries the familiar risk of the category: the company's fortunes will track XRP's price, which can swing sharply in either direction.
Source: PR Newswire
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