XRP treasury firm VivoPower aims to acquire hundreds of millions of dollars in Ripple Labs shares via a new joint venture.
The company announced on Tuesday that its Vivo Federation unit has been engaged by South Korea–headquartered asset manager Lean Ventures to source an initial $300 million of Ripple equity. The Ripple shares will be placed into a dedicated investment vehicle managed by Lean Ventures, targeting institutional and qualified retail investors in South Korea — one of XRP’s biggest markets worldwide.
The share acquisition deal will proceed under an arrangement that the company says would provide indirect exposure to approximately 450 million XRP tokens, worth around $900 million at today’s prices.
VivoPower clarified that it does not intend to deploy its own balance sheet capital as part of the deal. The company would instead generate management fees and performance-based compensation, targeting $75 million in net economic returns over three years if the initial $300 million agreement is successful.
In its press release, VivoPower describes the Ripple stake as providing exposure to “underlying” XRP, based on the San Francisco-based company’s existing XRP stack.
VivoPower’s XRP Treasury Strategy
The arrangement follows earlier revelations by VivoPower around other XRP-related strategies.
In August, the company revealed plans to acquire up to $100 million in privately held Ripple shares as part of what it characterized as an XRP-focused treasury strategy, positioning equity ownership as a way to gain indirect exposure to the industry’s fifth-largest cryptocurrency rather than holding XRP directly.
Earlier this year, VivoPower announced a $121 million private placement led by His Royal Highness Prince Abdulaziz bin Turki bin Talal Al Saud, chairman of Eleventh Holding Company in Saudi Arabia. The raise positioned it as one of the first publicly listed companies to base its digital asset strategy around XRP rather than the two largest cryptocurrencies, Bitcoin (BTC) and Ethereum (ETH).
XRP is trading down 1.4% over the past day at $1.83, according to CoinGecko data.
Source: https://zycrypto.com/nasdaq-listed-vivopower-targets-300-million-ripple-share-acquisition-unlocking-about-1b-in-xrp-exposure/
