- Sharps Technology, a healthcare solutions provider, is raising $400 million for the acquisition of Solana to reinforce its treasury and boost its earnings.
Sharps Technology, Inc.’s stock has gained much traction following the announcement of its treasury strategy pivot to Solana (SOL) on Monday. According to a press release via Nasdaq, the publicly traded company plans to raise $400 million through a private placement offering to fund its accumulation of the digital asset.
Sharps Technology, Inc.’s Transition to a Solana Treasury
Alice Zhang, the new Chief Investment Officer (CIO) and board member of Sharps, is bullish about their company’s transition toward SOL. She believes the cryptocurrency will further gain strong institutional support due to its high-throughput, low-cost, and real-time settlement. Additionally, she sees a huge potential for growth in Solana’s ecosystem due to its tokenization capabilities that apply from blue-chip equities to bonds and private assets.
“Global adoption of Solana’s ecosystem is accelerating as it continues to receive institutional support for its vision of a single global market for every tradeable asset, making now the right time to establish a digital asset treasury strategy with SOL,” said Zhang.
Moreover, Zhang revealed that they are forming a team with a connection to Solana to reinforce Sharps’ new strategy.
“We will have a team with deep ties to the Solana ecosystem and proven founder-level experience in scaling institutional digital asset platforms, which we believe will set the Company up for success,” she added.
With that, the business has already appointed James Zhang, Jambo’s co-founder and a known figure within the Solana community, as its strategic advisor and consultant for its new venture. Sharps made a good call for the new advisor because Solana features superb staking yield, app revenues, and chain revenues compared to other blockchains.
“We believe creating a digital asset treasury will generate significant long-term value for Sharps Technology’s shareholders,” the consultant stated.
Sharps’ Big Solana Bet
Sharps is a Nevada-registered company that specializes in delivering healthcare solutions. It’s led by Robert Hayes as Chief Executive Officer (CEO) and Director. As of the second quarter of this year, it reported a revenue of $222,722, a modest yet significant improvement from its negative first-quarter earnings.
The company reportedly took a $50 million loan from the Solana Foundation to accumulate SOL earlier at a 15% discount based on the asset’s 30-day time-weighted average price. The move allowed it to bootstrap its initial SOL accumulation, with the expectation of the crypto asset’s substantial appreciation in value once institutional adoption goes into full swing, especially when the US Securities and Exchange Commission (SEC) finally green-lights the exchange-traded funds (ETFs) related to the token.
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