Forward Industries, a Nasdaq-listed company, has initiated an at-the-market (ATM) equity offering program of up to $4 billion, providing the company with the flexibility to issue shares over time to bolster its treasury strategy focused on Solana.
On Wednesday, Forward Industries announced that this program will facilitate the issuance and sale of common stock via sales agent Cantor Fitzgerald.
This offering is in conjunction with an automatic shelf registration statement filed with the US Securities and Exchange Commission (SEC), which allows larger publicly traded companies to expeditiously raise capital with greater flexibility.
While the total amount is set at $4 billion, the company emphasized that sales will depend on prevailing market conditions.
Forward Industries to Allocate Funds for Solana Purchases
According to the release, the proceeds from share sales will be directed towards general corporate purposes, including working capital, growth initiatives, and expanding its Solana (SOL) treasury holdings.
Kyle Samani, chairman of the board, remarked that the offering provides Forward Industries with a flexible and effective method to raise and allocate capital for its Solana treasury strategy.
“The ATM Program enhances our ability to continue scaling that position, strengthen our balance sheet, and pursue growth initiatives in alignment with our long-term vision,” Samani stated.
On Sept. 8, Forward Industries revealed its Solana treasury strategy plans, amassing $1.65 billion in cash and stablecoin commitments led by notable crypto players like Galaxy Digital, Jump Crypto, and Multicoin Capital.
This announcement led to a buying frenzy in SOL, with Galaxy Digital purchasing $306 million in Solana tokens in a single day for Forward Industries’ reserve.
As of now, treasury data tracker Solana Strategic Reserve reports that Forward Industries holds $1.6 billion in tokens, leading in SOL treasury holdings.
Related: Nasdaq-listed Helius announces $500M funding for Solana treasury
Solana Treasury Companies Reach $4 Billion in SOL Tokens
Forward Industries is not alone in developing a strategic treasury centered on Solana tokens. Recently, Solana Strategic Reserve indicated that SOL treasuries surpassed 17.11 million SOL tokens for the first time, valued at over $4 billion, reflecting a surge in institutional interest in Solana.
A total of 17 companies have adopted Solana reserve strategies, including Sharps Technology, the DeFi Development Corp., and Upexi.
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