Sequans Raises $384 Million for Bitcoin Treasury Shift

Sequans Communications S.A., a France-based semiconductor firm specializing in 4G and 5G Internet of Things (IoT) technologies, announced its intention to raise approximately $384 million through private placements in equity and convertible debt. This funding is aimed at establishing a Bitcoin treasury, marking a significant strategic shift for the company.

The funding round is accompanied by a partnership with Swan Bitcoin, a US-based Bitcoin investment and treasury management platform. Sequans has entered into definitive agreements to issue around $195 million in equity and $189 million in secured convertible debentures, with the combined gross proceeds totaling approximately $384 million. The funding will be raised through two separate private placements, one for equity and one for debt.

The equity component includes the sale of approximately 1.39 billion ordinary shares, equivalent to 139.3 million American Depositary Shares (ADSs), along with common warrants exercisable within 90 days. The securities are priced at a combined $1.40 per ADS and warrant, or $0.14 per ordinary share and warrant. In total, this tranche is expected to raise $195 million.

The debt portion includes secured convertible debentures amounting to $189 million and additional common warrants for roughly 202.5 million ordinary shares, also exercisable within 90 days of closing. This strategic move is seen as a long-term bet on the potential growth of Bitcoin as a digital asset.

According to Sequans CEO Georges Karam, the Bitcoin treasury strategy is a long-term bet on the potential of the digital asset’s growth. “Our bitcoin treasury strategy shows our strong conviction in bitcoin as a premier asset and a compelling long-term investment,” Karam surmised. “We believe bitcoin’s unique characteristics will enhance our financial resilience and deliver significant value to our shareholders.”

Despite this shift, the company reiterated its commitment to its core telecommunications mission. “We continue to support our customers with a robust 4G and 5G product roadmap,” Karam added. Northland Capital Markets and B. Riley Securities will serve as the joint lead placement agents, with Yorkville Securities potentially added as an additional placement agent. Legal counsel for Sequans includes Lowenstein Sandler LLP in the US and ARCHERS (AARPI) in France, while Goodwin Procter LLP is advising the placement agents in both jurisdictions.

Meanwhile, ECD Automotive Design Inc., a US restorer of luxury Land Rover and Jaguar vehicles, announced it has signed a $500 million equity facility with ECDA Bitcoin Treasury LLC. Much like Sequans, the company said the funding will support its plans to implement a Bitcoin treasury strategy. “We are excited to secure this significant financing option, which strengthens our financial foundation and enables us to diversify our treasury strategy with Bitcoin,” Ben Piggott, CFO of ECD Automotive Design, said in a press conference.

The announcement comes shortly after Sequans received a compliance warning from the New York Stock Exchange. On June 5, 2025, the NYSE issued a notice indicating that the company no longer met listing requirements under Section 802.01B of the NYSE Listed Company Manual. The deficiency lies in Sequans’ global market capitalization falling below $50 million over a 30-day trading period, combined with shareholder equity also below that threshold. The notice requires the company to submit a plan within 90 days detailing how it intends to regain compliance within a nine-month period. The NYSE will review the proposed plan and determine within 45 days if Sequans has a credible way to reinstate its compliance. The company’s ADSs will continue trading during the review and cure period, provided other listing standards are met.