The US Securities and Exchange Commission approved a prospectus allowing Ripple-backed Evernorth Holdings to issue shares when warrants are exercised. Evernorth would receive proceeds only from cash exercises, not from other sales of the underlying shares. If all warrants are exercised for cash at $11.50 per share, the company could receive about $132.25 million in gross proceeds; the amount actually raised depends on how many are exercised.
Management may use net proceeds for general corporate purposes, including potentially expanding its XRP holdings. Widespread warrant exercises could dilute existing shareholders. Evernorth said it held almost 473 million XRP when its merger with Armada Acquisition Corp II closed.
