Publicly-Listed VivoPower Sizes Ripple Share Deal at $900M in XRP Value

VivoPower International, a publically listed vigor and integer plus treasury company, said Wednesday it plans to originate up to $300 cardinal worthy of Ripple Labs shares for South Korea-based concern steadfast Lean Ventures.

The stock woody volition proceed nether an statement the institution says would supply indirect vulnerability to astir 450 cardinal XRP tokens valued astatine astir $900 cardinal astatine existent prices.

The statement was disclosed connected Tuesday, though VivoPower’s latest SEC filing connected the aforesaid time does not bespeak those details, and nary caller filing has been uploaded to the company’s SEC directory astatine the clip of writing.

Decrypt has reached retired to VivoPower for remark and volition update this nonfiction should they respond.

Per the release, the stock woody would spot VivoPower’s integer plus unit, Vivo Federation, root Ripple equity to beryllium placed into a dedicated concern conveyance managed by Lean Ventures.

VivoPower said it does not program to deploy important equilibrium expanse superior arsenic portion of the arrangement. Instead, the institution would enactment arsenic an originator and manager for the transaction, generating gross done fees and performance-based compensation linked to assets nether management.

The institution added that it is targeting nett economical returns of astir $75 cardinal implicit 3 years from the archetypal $300 cardinal tranche, though those figures are based connected interior estimates.

In its disclosure, VivoPower characterizes the Ripple Labs shareholdings arsenic providing vulnerability to “underlying” XRP, based connected Ripple’s existing XRP holdings. The operation does not impact nonstop ownership of XRP tokens.

Any vulnerability is derived done equity ownership successful Ripple Labs, meaning returns would beryllium connected a operation of Ripple’s firm performance, its equilibrium expanse composition, and broader marketplace dynamics.

Decrypt has reached retired to Ripple Labs for clarification connected this constituent and would update this portion if a effect comes in.

The transaction follows earlier disclosures by VivoPower astir different XRP-linked strategies.

In August, the institution said it planned to get up to $100 cardinal successful Ripple Labs shares arsenic portion of what it described arsenic an XRP-focused treasury strategy, positioning equity ownership arsenic a mode to summation indirect vulnerability to the token alternatively than holding XRP directly.

Why VivoPower Wants Ripple Shares astatine a Discount to Its XRP Holdings

Its stock, VVPR, closed astatine $2.83 connected Wednesday, down by 11.56% from the anterior session, marking a crisp single-day decline, per Yahoo Finance data. Trading measurement reached astir 340,600 shares, beneath the stock's mean regular volume, indicating the sell-off occurred connected comparatively airy participation.