Latest news with #EmperyAssetManagement
Business Insider
18-07-2025
- Business
- Business Insider
Volcon Stock (VLCN) Skyrockets 270% on New Bitcoin Strategy
Shares of electric vehicle maker Volcon (VLCN) soared over 270% on Thursday morning. The stellar rally came after the company disclosed a strategic shift in its financial strategy, opting to make Bitcoin (BTC-USD) its primary treasury reserve asset. This move will be funded by a $500 million private placement of common stock. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. VLCN has entered into a securities purchase agreement with some institutional and qualified investors to sell 50,142,851 shares of common stock at $10 per share. The company anticipates total proceeds exceeding $500 million, after accounting for placement agent fees and other issuance costs. Empery Asset Management acted as the lead investor. Also, several crypto venture capital firms such as FalconX, Pantera, Borderless, RK Capital, and Relayer Capital participated in the private placement. The deal is expected to close around July 21, 2025, subject to customary closing conditions. Upon completion, Volcon plans to deploy at least 95% of the net proceeds to acquire Bitcoin. New Strategy Calls for New Management Alongside the private placement, VLCN has entered into a Strategic Digital Assets Services Agreement with Gemini Nustar LLC to help Volcon manage and execute its digital asset strategy efficiently. Further, Volcon has named Ryan Lane, co-founder of Empery Asset Management, as co-CEO and chairman of the board. Also, John Kim will continue in his role as co-CEO, focusing on the company's core electric off-road powersports business. This move makes Volcon a part of the growing number of companies adding digital assets to their balance sheets. It reflects their belief in Bitcoin's long-term value and its role as a financial hedge. Is Volcon a Good Stock to Buy? According to the TipRanks AI analyst, VLCN stock received a score of 47 out of 100 with a Neutral rating. Further, the AI analyst has set a price target of $7.50 on Volcon stock, which implies a downside of over 74.5%.
Yahoo
17-07-2025
- Business
- Yahoo
Off-Road EV Maker's Shares Surge 300% on $500M Raise to Buy Bitcoin
Electric off-road vehicle maker Volcon (VLCN) has announced a $500 million private stock sale, with plans to allocate the majority of the proceeds to purchase bitcoin (BTC) for its corporate treasury. The Texas-based firm said in a press release that it's looking to allocate at least 95% of the proceeds toward its bitcoin treasury. Volcon's bitcoin holdings will be custodied by Gemini through a new partnership. 'In an era of accelerating monetary debasement, holding Bitcoin on our balance sheet represents a strategic move to safeguard shareholder value and align with a digital future,' said co-CEO John Kim. To steer this strategy, Volcon has named Ryan Lane, co-founder of Empery Asset Management, as co-CEO and Chairman. Empery led the funding round, joined by crypto-native firms Pantera, FalconX, Borderless, and Relayer Capital, as well as traditional financial players. The company expects the deal to close by July 21. The move will see it join a growing list of publicly traded companies with bitcoin treasuries. These firms, per BitcoinTreasuries data, hold a total of 860,553 BTC. Volcon's shares are up more than 330% in pre-market trading at $40.5. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
17-07-2025
- Business
- Yahoo
Volcon Is Pivoting to a Bitcoin Treasury Model. Should You Buy VLCN Stock Here?
Volcon (VLCN) shares more than quadrupled on Thursday after the electric vehicle (EV) company joined a fast-growing list of businesses that have made Bitcoin (BTCUSD) their primary treasury reserve asset. The Nasdaq-listed firm has raised over $500 million from a consortium of accredited investors led by Empery Asset Management, at least 95% of which will be used to load up on BTC. More News from Barchart Dear Google Stock Fans, Mark Your Calendars for July 23 Dear UnitedHealth Stock Fans, Mark Your Calendars for July 29 Peter Thiel Is Betting Big on This Ethereum Treasury Stock. Should You Buy Shares Now? Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. Following today's rally, Volcon stock, at one point, was up a staggering 900% versus its year-to-date low set in late May. Why Did Volcon Stock Skyrocket on the BTC News? VLCN shares are flying high this morning because adopting Bitcoin as the treasury reserve asset will help it tap into the long-term upside of the digital asset. Over time, this strategy will likely help attract crypto-savvy investors, boost brand visibility, and diversify the company's balance sheet beyond traditional fiat currencies. For a small-cap electric vehicle firm, it's a 'high-risk, high-reward' play that could significantly improve shareholder value, if BTC continues to outperform over the longer term. More importantly, investors are cheering Volcon stock today because a similar Bitcoin strategy has delivered explosive returns to MicroStrategy (MSTR) shareholders over the past several years. VLCN Shares Are Not Particularly Attractive to Own While the BTC pivot does seem exciting, caution is warranted in buying Volcon shares as the EV company's financials are beyond disappointing. In its latest reported quarter, VLCN lost $2.46 million as the revenue tanked roughly 30% to some $700,000 on a year-over-year basis. Additionally, higher tariffs are a meaningful threat as they could further increase costs for Volcon that's already burning through cash at an alarming pace. Note that VLCN stock does not currently receive coverage from major Wall Street analysts – which typically is a huge red flag for serious, long-term investors as well. Why? Because it often signals limited institutional interest, low liquidity, and unusually high risk, which raises concerns about transparency, credibility, and the firm's ability to sustainably attract capital support. Therefore, despite the Bitcoin strategy announced today, Volcon remains a high-risk speculative bet for the second half of 2025. On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on
