Sequans Communications S.A., a semiconductor company from France specializing in 4G and 5G Internet of Things (IoT) technology, has just announced plans to raise approximately $384 million through a private placement of equity and secured convertible bonds to fund its Bitcoin treasury.
According to a press release from the company, the funding round coincides with the collaboration with Swan Bitcoin, a leading investment management and Bitcoin treasury platform in the United States.
Details of the equity and convertible bond issuance
Sequans has signed formal agreements to issue approximately $195 million in equity and $189 million in secured convertible bonds. Total proceeds are expected to be around $384 million, divided into two separate fundraising rounds: one for equity and one for convertible debt.
The equity portion includes approximately 1.39 billion common shares, equivalent to 139.3 million ADS (American Depositary Shares), along with stock purchase options that can be exercised within 90 days.
The sale price is set at $1.40 per ADS and option, equivalent to $0.14 per share and option. This issuance is expected to raise $195 million.
“The bond portion includes convertible bonds with a secured value of $189 million along with options to purchase an additional approximately 202.5 million common shares, which can also be exercised within 90 days after the closing of the issuance,” the announcement stated.
Expanding cryptocurrency treasury diversification
According to Georges Karam, CEO of Sequans, the Bitcoin treasury strategy is a long-term bet on the potential growth of this digital asset.
“The Bitcoin treasury strategy reflects our strong belief in Bitcoin as a premier asset and an attractive long-term investment,” Mr. Karam stated. “We believe that Bitcoin's superior characteristics will enhance financial sustainability and create significant value for shareholders.”
Sequans remains committed to focusing on telecommunications technology. “We continue to support our customers with a strong 4G and 5G product roadmap,” he affirmed.
Northland Capital Markets and B. Riley Securities are the two main underwriters, while Yorkville Securities may also be expected to participate. The law firm representing Sequans includes Lowenstein Sandler LLP in the U.S. and ARCHERS (AARPI) in France. Goodwin Procter LLP advises the underwriters in both markets.
Meanwhile, ECD Automotive Design Inc., a company specializing in restoring luxury Land Rover and Jaguar vehicles in the U.S., has signed a contract to raise $500 million through equity issuance with ECDA Bitcoin Treasury LLC, aiming to implement a Bitcoin treasury strategy similar to Sequans.
“We are very pleased to have secured this significant funding, which helps strengthen our financial foundation and diversify our treasury strategy with Bitcoin,” said Ben Piggott, CFO of ECD Automotive Design, at the press conference.
Enhancing NYSE compliance through cryptocurrency collaboration
This announcement comes right after Sequans received a non-compliance warning from the New York Stock Exchange (NYSE). On June 5, 2025, NYSE announced that Sequans no longer meets the listing requirements under Section 802.01B of the NYSE Listed Company Manual.
The reason stems from Sequans' global market capitalization falling below $50 million within 30 trading days, along with equity also being below this threshold. The company is required to submit a plan within 90 days to regain compliance in the next 9 months.
NYSE will review and decide within 45 days whether Sequans has a viable plan to restore listing conditions. During the review period, Sequans' ADS will still be allowed to trade, provided they meet other listing standards.
Source: https://tintucbitcoin.com/sequans-phap-gay-von-bitcoin-treasury/
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