Sequans Communications’ (Sqns) rose more than 40%after the wireless chip designer closed a private location of $ 384 million with plans to spend the majority of it in Bitcoin
.
The deal combined a sale of $ 195 million of US deposit shares
And warrants for $ 1.40 with $ 189 million of five-year-old secured convertible bonds priced at a 4% discount, according to a press release.
The France-based company’s ADSs rose to $ 2.01 on Nasdaq after the message.
Investors can convert to $ 2.10 per US deposit share, and if all Warrants are exercised, Sequan’s Net can another $ 57.6 million, with the funds also earmarked for Bitcoin purchases.
CEO Georges Karam said the company sees that the asset improves its financial resilience and creates long -term value. Sequan’s designer low-power 4G and 5G modems used in smart meters, asset trackers and industrial sensors.
Swan Bitcoin will buy and the parents coins, while the Northland Capital Markets and B. Riley Securities handled the financing.
The move sees Sequans joining a growing list of listed companies adopting Bitcoin as their primary state reserve asset. A total of 852,309 BTC is currently owned by these companies, according to BitCinTreasuries data.
Most of these coins are kept by strategy (Mstr)which has 597,325 BTC on its balance. It is followed by Mara Holdings (Mara) with 50,000 BTC and XXI with 37,230 BTC.
