Today I carefully read Businesswire media's detailed report on yesterday's official announcement of WLFI CoinShares, translated it using ChatGPT5, and finally figured out the specific arrangements.
Original text: https://share.google/qeRtEBVkvg6ktIhYq
The picture is a detailed translation of ChatGPT5.
The summary is as follows:
Financing structure:
1. Registered Direct Offering: Offering up to 100 million shares of common stock (or equivalent substitute securities) at a price of $7.50 per share.
2. Private Placement Offering: Simultaneously issue 100 million shares of common stock (or equivalent substitute securities) at the same price of US$7.50.
The consideration for the private placement is $WLFI tokens provided by World Liberty Financial (WLFI).
2. Fundraising scale and timing
Total proceeds raised were approximately US$1.5 billion (before fees).
The transaction is expected to be completed around August 12, 2025.
3. Purpose of Funds
--Acquire $WLFI tokens and establish cryptocurrency treasury operations (holding approximately 7.5% of the total $WLFI supply after delivery)
--Pay off existing lawsuits and debts.
--Support the Company's existing business operations, supplement working capital and for general corporate purposes.
4. Changes in key players and senior management
WLFI: The main private equity investor, with participants also including large global institutional investors and well-known crypto venture capital firms.
5. Senior management appointments (effective after closing):
--Zach Witkoff (WLFI Co-founder and CEO) appointed Chairman of the Board of Alt5
--Eric Trump joins the board of directors
--Zak Folkman (WLFI Co-founder and COO) serves as Board Observer
--Matt Morgan appointed Chief Investment Officer
In human terms:
1. Issue 100 million additional common shares at a price of $7.50. This common stock should be publicly offered to retail investors. This portion of the funds raised is $750 million.
2. Issue 100 million additional common shares for private equity fund purchases, raising $750 million.
WLFI is the main investor in this private placement of 100 million common shares, but payment will be made in $WLFI tokens instead of US dollar cash. It is not yet known at what price in $WLFI the funds will be converted, nor how many shares WLFI will purchase in total (please leave a message if you have found the details).
The other private equity firms that participated in buying these 100 million shares as "large global institutional investors and well-known crypto venture capital firms" have not yet been disclosed as to their identities, nor have they said how much each firm purchased, or whether they used US dollars or virtual currency.
3. The 100 million shares of ALT5 purchased by the private equity firm will be delivered around August 12, which is around today in the United States, but not necessarily today.
4. Currently, ALT5 has issued a total of 122 million shares, of which 120 million are circulating shares, with a total market value of US$692 million. After the additional issuance, the number will become 322 million shares.
Let's see what changes will happen to ALT5's stock price after the private equity institutions make cash transactions with ALT5 today, and whether the institutions and retail investors in the secondary market on Wall Street will buy the 100 million common shares offered by the public.
ALT5's stock price has fallen from yesterday's high of $10.237 to $5.78 now. I just bought some at the bottom, and I can't go to bed early tonight...