Evernorth wins shareholder approval for Nasdaq XRP treasury listing

Evernorth gets shareholder approval for XRP treasury listing

Evernorth, a company that plans to hold XRP as a treasury asset, has cleared a key step toward listing on Nasdaq. Shareholders of Armada Acquisition Corp. II, a blank-check company, approved the proposed business combination, Evernorth announced on Oct. 1.

XRP is a cryptocurrency. Evernorth expects to become a publicly traded XRP treasury company.

Key numbers in the deal

• Evernorth expects to hold about 473 million XRP, worth roughly $710 million at the time of the report.
• The deal is expected to close on Oct. 7, with Nasdaq trading under the ticker XRPN expected to begin Oct. 8, subject to remaining closing conditions.
• The transaction is expected to raise about $300 million in gross cash proceeds, including $225 million from related private placements, $30 million in convertible note financing and roughly $48 million from Armada II's trust.
• Investors have also contributed XRP directly to the transaction, according to the report.

What Evernorth says about its XRP treasury

Evernorth says the listing would make it the largest publicly traded pure-play XRP treasury company, meaning a company focused on holding XRP.

Its investors include Ripple, Kraken, Pantera Capital, SBI Group, Arrington Capital and GSR. Evernorth plans to grow its XRP holdings per share through yield strategies, participation in the XRP ecosystem and capital markets activities.

What is supported by the report

The report says shareholders approved the combination. It also says Evernorth filed its Form S-4 registration statement with the U.S. Securities and Exchange Commission in March, and that the statement was declared effective in August.

The expected 473 million-token treasury and the Oct. 8 trading start are Evernorth's stated expectations, not guaranteed outcomes.

What is still unclear

The listing still depends on remaining closing conditions. The report does not say what those conditions are.

Why this matters for crypto treasury companies

The news comes as other crypto treasury deals have faced difficulties. Ether Machine scrapped its planned merger with Dynamix in April, citing unfavorable market conditions and ending plans for a $1.5 billion yield-bearing Ether fund.

In July, Adam Back's Bitcoin Standard Treasury Company and Cantor Equity Partners I scrapped the original terms of their proposed merger and postponed a shareholder vote indefinitely while negotiating a deal that would better reflect market conditions.

Other crypto companies have reached U.S. public markets through blank-check deals this year. Securitize began trading on the New York Stock Exchange in July, and CoinShares made its Nasdaq debut in April after a $1.2 billion merger with Vine Hill Capital Investment Corp.

Next steps for XRPN

If remaining closing conditions are met, the merger is expected to close on Oct. 7. Evernorth's shares are expected to begin trading on Nasdaq under the ticker XRPN on Oct. 8.

Sources

• Cointelegraph