Evernorth Starts Nasdaq Trading as XRP Holdings Lose $443 Million

what happened

Evernorth Holdings (XRPN) began trading on Nasdaq on Monday. Stocktwits reports that the company holds roughly 473 million XRP and had gross cash proceeds of about $300 million before transaction costs. Evernorth announced its plan to go public through Armada Acquisition Corp. II last week.

An SEC filing showed XRP’s reference price at $2.36 when the transaction was signed and $1.43 at closing, a decline of about 39.5%. That reduced the estimated value of Evernorth’s holdings from approximately $1.12 billion to $677 million, a $443 million gap. The company has no operating revenue and functions as an XRP treasury, similar to Strategy (MSTR for Bitcoin) and Bitmine Immersion Technologies (BMNR for Ethereum). Its backers include Ripple, Kraken, Pantera Capital and SBI Group.

When the merger closed, about 80.3% of Armada shareholders chose cash instead of remaining invested, removing roughly $195.3 million from the deal. XRPN gained as much as 2% and moved above $19 on Monday before giving back most of the advance by midday. Stocktwits said retail sentiment toward the stock remained bullish, while discussion fell from extremely high to high. XRP dropped as much as 1.6% over the past 24 hours to below $1.40. Evernorth is scheduled to ring the Nasdaq closing bell on Wednesday.

why it matters

XRPN’s valuation is closely tied to XRP because the company has no operating revenue and holds the token as its treasury asset. Below $1.40, the position was worth about $457 million less than at signing and $14.5 million below its closing reference value.

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