Ripple-backed XRP treasury company Evernorth Holdings has filed to register a resale of 73,688,162 Class A common shares by existing holders. The company will receive no proceeds from those sales, while XRPN stock closed lower on Friday.
Evernorth Holdings, the Ripple-backed XRP treasury company, filed with the US SEC to plan a resale of 73,688,162 Class A common shares and 239,653 sponsor warrants by shareholders.
What the filing registers
According to the filing, the registered shares include 19.1 million issued and outstanding shares held by selling securityholders. The total also covers up to about 31.4 million XRPN shares issuable upon conversion of Class C common stock and up to 22.95 million shares issuable upon redemption or exchange of company units.
Separately, 239,653 shares are issuable at an exercise price of $11.50 per share. Arrington XRP Capital Fund, Cohen & Company Securities and Northland Securities hold them. The selling shareholders include SBI Holding and subsidiaries, Ripple, Arrington XRP Capital Fund, Chris Larsen, Payward and Gumi, among others.
Evernorth will not receive proceeds from sales by the selling securityholders, though this excludes proceeds from any cash exercise of the sponsor warrants. The company will cover registration costs, while sellers bear any commissions or discounts.
XRPN and XRP slip
As CoinGape reported earlier, Evernorth entered a stock purchase agreement with CF Principal Investments, an affiliate of Cantor Fitzgerald, to issue 5.2 million XRPN Class A common shares and raise $80.7 million to acquire more XRP.
On the market side, XRPN stock closed 3.47% lower at $14.20 on Friday as XRP and the broader crypto market sold off. The stock jumped slightly in aftermarket hours.
XRP itself trades at $1.24, down 7% in a week. The price fell from $1.34 to a low of $1.23, and trading volume dropped 37% over the past 24 hours.
XRP futures open interest also fell nearly 2% over the same 24 hours.
Source: CoinGape
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