Sequans Communications ($SQNS) to Raise $384 Million for Dedicated Bitcoin Treasury
Paris, France – June 23, 2025 – Sequans Communications S.A. (NYSE: SQNS), a leading developer of 5G/4G IoT semiconductors and modules, has announced a bold strategic move to establish a dedicated Bitcoin treasury. The company plans to raise approximately $384 million through private placement offerings, marking a significant pivot into cryptocurrency as a long-term asset alongside its core semiconductor business.
The funding will be split into $195 million in equity securities and $189 million in convertible secured debentures. Sequans has partnered with Swan Bitcoin, a prominent U.S.-based Bitcoin wealth management platform, to manage the treasury initiative. This collaboration aims to leverage Bitcoin’s potential as a hedge against inflation and a store of value, reflecting growing corporate interest in digital assets.
CEO Georges Karam emphasized the company’s confidence in this strategy, stating, “Our Bitcoin treasury strategy reflects our strong conviction in Bitcoin as a premier asset and a compelling long-term investment. We believe its unique characteristics will enhance our financial resilience and deliver significant value to our shareholders.” The move comes as Sequans faces a NYSE non-compliance notice due to its market capitalization falling below the required $50 million threshold, with 90 days to submit a compliance plan.
Despite this financial challenge, Sequans reported a 33.6% year-over-year revenue increase to $8.1 million in Q1 2025, though it recorded a net loss of $7.3 million. The Bitcoin treasury initiative, expected to close around July 1, 2025 pending shareholder approval, positions Sequans among a growing list of public companies diversifying into cryptocurrency reserves, following the likes of MicroStrategy and Tesla.
The announcement has sparked excitement in the market, with Sequans’ stock surging over 42% in pre-market trading. Analysts are watching closely to see if this strategic bet on Bitcoin can bolster the company’s financial standing and set a precedent for other tech firms in the IoT sector.