The U.S. Ether financial company Fundamental Global (stock code: FGF) has submitted a 'shelf registration' to the U.S. Securities and Exchange Commission (SEC) to allow the company to issue up to $5 billion in securities over time. This move may give the company the opportunity to significantly increase its Ether (ETH) holdings.
This S-3 filing provides Fundamental Global with flexibility to issue various securities, including common stock, preferred stock, warrants, and debt instruments, either in one go or in batches. Although the company has not committed to raising the full amount of funding and has not specified a precise timeline for fundraising, the prospectus mentions that the proceeds may be used for its recently announced Ethereum financial reserve strategy.
If Fundamental successfully raises $5 billion and uses all of it to purchase Ether, its scale will far exceed that of other publicly listed companies holding Ether, including BitMine, SharpLink Gaming, and Ether Machines.
Fundamental Global was originally a reinsurance and asset management holding company. In July of this year, the company launched a $200 million private placement to initiate its Ethereum financial strategy, including acquiring Ether, participating in staking, and engaging in decentralized finance (DeFi) activities to maximize the number of Ether held per share.
Fundamental has announced the completion of a $200 million private placement this week, with investors including Galaxy Digital, Kraken, Hivemind Capital, Syncracy Capital, Digital Currency Group, and Kenetic.
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