New leadership and strategic shift position ALT5 for accelerated growth in digital asset treasury operations
ALT5 Sigma Corporation (the “Company,” “our” or “ALT5”), a fintech specializing in turnkey, crypto-related solutions for institutions and merchants, welcomes Zach Witkoff, Co-Founder and CEO of World Liberty Financial, Inc. (“WLFI”), as Chairman of its board of directors (the “Board”), effective upon the closing of its previously announced $1.5 billion registered direct offering and concurrent private placement.
The previously announced financing marks the launch of ALT5’s $WLFI Treasury Strategy, through which the Company will hold approximately 7.5% of the total supply of $WLFI tokens upon the closing. WLFI is the company behind USD1, the fastest growing stablecoin in the world.
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Statement from Zach Witkoff, Chairman, ALT5 Sigma Corporation:
“I am honored to assume the role of Chairman of the Board of ALT5 at such a pivotal moment in the Company’s evolution. The completion of this transaction with WLFI represents not only a significant capital infusion, but also the foundation of a bold new chapter for ALT5 — one that positions the Company at the forefront of the digital asset treasury sector with a meaningful stake in the $WLFI ecosystem.
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The value creation model embraced by leading Digital Asset Treasury (“DAT”) companies can be straightforward, yet powerful. By issuing equity at prices above multiple net asset value (“mNAV”) per share and using those proceeds to acquire additional digital assets, ALT5 believes that it can grow the number of tokens per share in a highly accretive manner. Over time, this per-share token growth aims to compound the Company’s intrinsic value and enhances long-term stockholder returns. Similarly, when trading below mNAV, repurchasing shares can serve as a complementary lever to drive accretion.
This disciplined mNAV accretion strategy coupled with our substantial initial $WLFI position, and prudent capital management provides ALT5 with tools which can help to maximize value for stockholders. The new strategy, combined with ALT5’s core business – which continues to see significant growth as the demand for turnkey blockchain-payment solutions rapidly increases – underpins a long-term, value-creation engine for stockholders. While ALT5 has no current plans to access the at-the-market (“ATM”) facility at these mNAV levels, I expect that ALT5 will remain opportunistic in the future, evaluating token acquisitions and equity issuances only when they are expected to deliver measurable, long-term accretive benefits. At the same time, ALT5 remains committed to continuing to invest in ALT5’s innovative solutions to further strengthen its industry-leading position.
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I look forward to working closely with the Board, the ALT5 management team, and all ALT5 stakeholders as ALT5 executes on this strategy and capture the tremendous opportunities that lie ahead in the rapidly expanding digital asset economy.”
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Source : businesswire