DeFi Technologies Inc. has successfully completed a significant US$100 million registered direct offering, as the company continues to solidify its role in bridging traditional capital markets with decentralized finance (DeFi). This financing round, which attracted several prominent institutional investors, was notably led by Galaxy Digital, a well-known cornerstone investor.
The offering involved the sale of 45,662,101 common shares, along with warrants allowing the purchase of up to an additional 34,246,577 common shares. The purchase price for the shares was set at US$2.19 each, and investors received three-quarters of a warrant for each share purchased. The warrants, which can be exercised at an exercise price of US$2.63 per common share—20% above the offering price—will become active immediately upon issuance and will remain valid for three years. They include an acceleration feature based on share price movements and other criteria.
With a gross income of US$100 million before accounting for fees and other expenses, DeFi Technologies plans to allocate these funds towards expanding its exchange-traded product (ETP) offerings, continuing developments in digital asset trading, lending, and staking transactions, and potentially pursuing acquisition opportunities. This strategic funding is aligned with the company’s broader growth initiatives.
Joseph Gunnar & Co., LLC served as the exclusive placement agent for the offering, which was conducted under the company’s short-form base shelf prospectus filed previously with Canadian regulatory authorities, as well as a corresponding registration statement with the U.S. Securities and Exchange Commission (SEC).
The offering’s documentation is accessible for public review on SEDAR+ and EDGAR, allowing potential investors to familiarize themselves with the terms and conditions associated with both the Base Shelf Prospectus and the Prospectus Supplement.
It is important to note that no securities regulatory authority has approved or disapproved the contents of this announcement, nor has any passed judgment on the accuracy or adequacy of the registration documents. This notice does not constitute an offer to sell or a solicitation to buy the securities in jurisdictions where such actions would be deemed unlawful prior to registration or qualification under local securities regulations.
DeFi Technologies Inc. operates multiple segments designed to provide investors with diverse exposure to the expanding decentralized economy. Its subsidiaries include Valour, offering regulated access to digital assets through ETPs; Stillman Digital, a prime broker focusing on institutional execution and custody; Reflexivity Research, which specializes in researching the digital asset market; Neuronomics, developing quantitative trading strategies; and DeFi Alpha, the company’s proprietary trading and arbitrage line.
The announcement also comes with a caution regarding forward-looking information, indicating that the expected use of proceeds from the offering, along with associated risks and uncertainties, could lead to actual results differing from predictions. Key concerns identified range from regulatory approvals to fluctuations in digital asset prices and the overall development of the decentralized finance sector.
Potential investors are advised to be cautious and not to place undue reliance on any forward-looking statements made in this context, as actual outcomes could diverge significantly from those anticipated.
