Evernos, an XRP treasury firm, plans to raise about $80 million through common stock sales and expand its XRP holdings.

On Oct. 25, blockchain media outlet CryptoSlate reported that Evernos signed a stock purchase agreement on Oct. 23 with CF Principal Investments, an affiliate of Cantor Fitzgerald. Under the deal, the company can sell up to 5,218,935 newly issued Class A common shares to Cantor over about 14 months.

In a prospectus filed with the U.S. Securities and Exchange Commission, Evernos estimated it could raise about $80.7 million if it sold the full amount at $15.46, the Oct. 22 closing price. Net proceeds after fees and expenses would be about $78.3 million. It plans to put a significant portion into additional XRP purchases and use the rest for working capital, corporate operating costs and XRP ecosystem-related activities.

The stock sales will proceed through requests made by Evernos from time to time, taking into account market conditions and funding needs. Cantor's purchase price is set at 97 percent of the volume-weighted average price of the common stock during the purchase period. Evernos can secure funding in stages as needed, but if the share price falls, it will raise less even if it sells the same number of shares.

There are also limits on the amount Cantor can buy. In principle, Cantor's purchases must stay within 20 percent of trading volume during the purchase period, and Cantor and its affiliates must not hold more than 4.99 percent. Evernos must pay about $522,000 as an initial commitment fee, and the total commitment fee can later rise to as much as $1 million depending on contractual calculation conditions.

The fundraising has not started yet. The registration statement for Cantor's resale of the shares must become effective, and the remaining contract conditions must also be met. The $80 million is an estimated amount based on a specific share price, and the amount actually used for XRP purchases will vary depending on the final proceeds, costs and allocation of funds.

Separately, Evernos is also pursuing fundraising through the exercise of existing warrants. Previously filed SEC documents include a plan to issue about 11.5 million common shares through warrant exercises. The exercise price is $11.50 per share, and if all are exercised in cash, about $132.2 million could flow in.

This approach is similar to Strategy chairman Michael Saylor's strategy of using funds raised from stock issuance to buy bitcoin. Evernos is also seeking to secure the funds needed to accumulate XRP by leveraging its status as a listed company. Because new share issuance dilutes existing shareholders, the key issue is whether additional fundraising will lead to an increase in actual XRP holdings and an improvement in asset value per share.