Dacity Coin
Bitcoin
Pearl
NEAR Protocol
Quantus
Bittensor
Pudgy Penguins
Key Insights:
- $384 million raised through equity and debt to fund the Bitcoin reserve strategy.
- Sequans stock surges over 60% pre-market after treasury plan announcement.
- The company partners with Swan Bitcoin for secure execution and governance.
Sequans Communications, a Paris-based semiconductor firm, has raised $384 million in private financing to launch a Bitcoin-focused treasury strategy. The government-backed company aims to strengthen its long-term financial position through digital asset exposure. Following the announcement, its stock surged over 60% in pre-market trading.
Capital Raise and Treasury Rollout
Paris-based semiconductor firm Sequans Communications has officially closed a $384 million funding round to implement a Bitcoin-focused treasury strategy, marking one of the first such moves by a company in the 5G IoT chip space.
The financing includes $195 million from equity and pre-funded warrant sales and $189 million from secured convertible debentures. The equity portion involved the sale of 139.4 million American Depositary Shares (ADSs) at $1.40 per unit, bundled with warrants to purchase up to 20.9 million additional ADSs.
The debt instruments, maturing in July 2028, are convertible at $2.10 per ADS and include warrants for 20.2 million additional ADSs.
These warrants could yield an additional $57.6 million if fully exercised, which Sequans intends to allocate entirely to Bitcoin purchases. According to the company’s official statement, “All net proceeds from the Offering will be used to purchase bitcoin” and support related corporate initiatives.
This marks the beginning of Sequans’ multi-phase Bitcoin treasury initiative to boost its long-term financial resilience through digital asset exposure.
The Offering was led by Northland Capital Markets, B. Riley Securities, and Yorkville Securities—all of whom have previously structured crypto-related financings, including those for Crypto.com and Trump Media.
Legal guidance was provided by Lowenstein Sandler LLP, ARCHERS (AARPI), and Goodwin Procter LLP. The securities were offered under Section 4(a)(2) and Regulation D exemptions from SEC registration, with resale registration filings planned to ensure regulatory compliance.
In the meantime, Sequans is working on a non-compliance warning issued by the New York Stock Exchange, which referenced the company’s market cap and equity dropping below the listing requirement of $50 million.
Nevertheless, the company is not yet out of its nine-month cure period and is acting towards stabilising its listing position.
Strategic Integration With Bitcoin and Swan Partnership
To operationalize its Bitcoin strategy, Sequans has partnered with Swan Bitcoin, a leading institutional-grade platform for Bitcoin custody, execution, and governance infrastructure. Swan will facilitate secure asset management as Sequans integrates Bitcoin into its financial operations.
“We believe Bitcoin’s unique properties will enhance our financial resilience and create long-term value for our shareholders,” said CEO Georges Karam. He added that the company plans to acquire bitcoin using excess cash from its core business and any additional proceeds.
The action puts Sequans in league with other Bitcoin-friendly companies such as MicroStrategy and Marathon Digital, and it is one of the only semiconductor companies in the world now using Bitcoin as a treasury reserve.
The technological and financial development of the company is also evident in the fact that in 2024, the French government granted a €10.9 million grant to Sequans to develop the 5G IoT chip technology.
Market Reaction and Investor Sentiment
Sequans shares jumped more than 60% at pre-market trading on Yahoo Finance to $2.30 on the treasury announcement. Bitcoin also experienced a meager rise of 0.4% within the same time span.
Retail sentiment in such a platform as Stocktwits turned out to be extremely bullish and the volume of messages was marked as extremely high. It indicates the increased interest of individual investors in companies shifting towards digital assets.
The move places Sequans in the spotlight as it balances its legacy semiconductor business with a bold crypto strategy. With major capital secured and investor attention high, all eyes will be on Sequans as it begins executing its Bitcoin acquisition plan.
