Core Points - Sequans Communications has announced a buyback program for up to 1.57 million American Depositary Shares (ADSs), representing approximately 10% of its outstanding ADSs, to be executed by June 30, 2026 [1][2] - The buyback program is part of the company's dynamic treasury strategy, which includes raising capital to grow Bitcoin holdings and enhance net asset value [2][4] - The company views Bitcoin as a long-term investment and aims to accumulate it as its primary treasury reserve asset [4][5] Company Strategy - The buyback program allows Sequans to repurchase ADSs at its discretion, depending on market conditions and legal compliance [2][3] - The company has established an Automated Teller Machine (ATM) tool to facilitate capital raising for increasing Bitcoin holdings [2] - Sequans' treasury strategy is designed to be flexible and responsive to market opportunities [2] Company Overview - Sequans Communications specializes in wireless 4G/5G cellular technology for the Internet of Things (IoT) and is a pioneer in Bitcoin Treasury [4][5] - The company offers a comprehensive portfolio of 4G/5G solutions tailored for IoT applications, focusing on innovation in wireless connectivity, power efficiency, and security [5] - Founded in 2003 and headquartered in France, Sequans operates globally with offices in multiple countries [6]

Core Insights - Sequans Communications has successfully closed a $384 million strategic investment to launch a Bitcoin treasury initiative, reflecting strong conviction in Bitcoin as a premier asset and long-term investment [1][2][5] Investment Details - The investment consists of $195 million from a PIPE (Private Investment in Public Equity) and $189 million in secured convertible debentures [1][3] - The offering included the sale of 139,444,614 American Depositary Shares (ADSs) at a price of $1.40 per ADS, contributing $195 million to the gross proceeds [3] - The secured convertible debentures amount to $189 million, due July 7, 2028, with a conversion price of $2.10 per ADS [3][4] Use of Proceeds - All net proceeds from the offering will be utilized to purchase Bitcoin and for general corporate purposes related to the Bitcoin treasury strategy [2][5] - If all common warrants are exercised, the company could receive an additional $57.6 million, which will also be used primarily for Bitcoin purchases [4] Strategic Partnerships - Sequans plans to partner with Swan Bitcoin, a leading Bitcoin financial services platform, to ensure secure execution and robust governance of its Bitcoin treasury strategy [5][11] Company Overview - Sequans Communications specializes in 5G/4G IoT semiconductors and modules, focusing on innovative and scalable technologies for connected devices [9]

Core Viewpoint - Sequans Communications is launching a bitcoin treasury initiative with a strategic investment of approximately $384 million, expanding its core semiconductor cellular IoT business [1][3]. Group 1: Investment Details - The company plans to raise approximately $384 million through the issuance of about $195 million in equity securities and $189 million in convertible secured debentures [2][6]. - The offering is expected to close around July 1, 2025, pending shareholder approval on June 30, 2025 [6]. Group 2: Strategic Rationale - The CEO of Sequans expressed strong conviction in bitcoin as a premier asset, believing it will enhance financial resilience and deliver significant value to shareholders [3]. - The company intends to partner with Swan Bitcoin for bitcoin treasury management solutions [3]. Group 3: Commitment to Core Business - Despite the new initiative, Sequans remains focused on advancing its cellular IoT mission, continuing to support customers with a robust 4G and 5G product roadmap [4]. - The company aims to deliver innovative solutions to meet evolving IoT application needs [4]. Group 4: Offering Structure - The offering includes the sale of 1,392,857,140 ordinary shares and common warrants to purchase up to 208,928,460 ordinary shares, with a combined purchase price of $1.40 per ADS and common warrant [5]. - The secured convertible debentures will total $189 million, along with common warrants for an additional 202,499,980 ordinary shares [5]. Group 5: Legal and Advisory - Northland Capital Markets and B. Riley Securities are serving as joint lead placement agents for the offering, with legal counsel provided by Lowenstein Sandler LLP and ARCHERS (AARPI) [7].