Mill City Ventures III 450M SUI Treasury Push Sparks 20% Share Jump as Institutional Backing Bolsters Blockchain Bet

Mill City Ventures III, Ltd. has secured a $450 million private placement to establish a corporate treasury focused on Sui (SUI) tokens, marking one of the largest single-position crypto holdings in traditional finance. The investment, led by Karatage Opportunities and supported by Galaxy Digital and Pantera Capital, involves issuing 83,025,830 common shares at $5.42 each, with 98% of proceeds—approximately $441 million—allocated to SUI token purchases and the remaining 2% reserved for short-term lending operations. This strategic pivot positions SUI as the core asset in Mill City’s treasury, reflecting a high-conviction bet on the Sui blockchain’s potential for institutional adoption [2][5].

The leadership structure of the firm has also shifted, with Marius Barnett, co-founder of Karatage Opportunities, appointed as Chairman, and Stephen Mackintosh, former General Partner at Karatage, assuming the role of Chief Investment Officer. These appointments underscore the alignment between Mill City and its institutional partners in advancing digital asset strategies. The SUI token acquisition will occur through open market purchases, institutional deals, and a negotiated agreement with the Sui Foundation, granting Mill City access to exclusive insights on the platform’s technological developments and ecosystem growth [2].

The transaction has already triggered a significant market reaction, with Mill City’s shares surging over 20% following the announcement. Analysts note that the move signals growing institutional confidence in blockchain integration, particularly as platforms like Sui—which emphasizes high-throughput, low-cost transactions and is backed by Meta co-founder Evan O’Connor—gain traction in corporate finance [2][5]. Stephen Mackintosh highlighted Sui’s potential for mass adoption, citing its efficiency and scalability as critical for large-scale institutional use [2].

From an analytical standpoint, the allocation reflects broader trends in traditional finance diversifying into crypto assets to leverage institutional adoption. By dedicating 98% of its capital to SUI, Mill City assumes exposure to market volatility inherent in cryptocurrencies, a risk balanced by the expertise of its partners in digital assets. The Sui Foundation’s collaboration with financial institutions like Mill City also underscores efforts to legitimize blockchain technology within traditional markets. Shared insights between the firm and the Sui Foundation could accelerate innovations in blockchain infrastructure, particularly as institutional crypto strategies intersect with emerging technologies like AI [2][5].

The deal’s structure, which bypasses SEC registration through private placement exemptions, highlights the evolving regulatory landscape for crypto investments. The involvement of A.G.P./Alliance Global Partners as the exclusive manager further reinforces the credibility of the transaction. While the SUI price experienced a minor dip post-announcement, long-term market implications remain under analysis, with the transaction positioned to influence future corporate treasury strategies in the blockchain sector [2].

Sources: [1] [Mill City shares jump following $450M private placement to build Sui crypto treasury](https://ih.advfn.com/market-news/article/13580/mill-city-shares-jump-following-450m-private-placement-to-build-sui-crypto-treasury) [2] [Mill City shares jump following $450M private placement to build Sui crypto treasury](https://ih.advfn.com/market-news/article/13580/mill-city-shares-jump-following-450m-private-placement-to-build-sui-crypto-treasury) [5] [Mill City Ventures (MCVT) Stock Soars On $450M Deal To ...](https://www.benzinga.com/trading-ideas/movers/25/07/46666724/mill-city-ventures-mcvt-stock-soars-on-450m-deal-to-create-crypto-treasury) [7] [Mill City Ventures III, Ltd announces ...](https://invezz.com/news/2025/07/28/mill-city-ventures-iii-ltd-announces-450000000-private-placement-to-initiate-sui-treasury-strategy/)