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ALPHARETTA, Ga. - Bakkt Holdings, Inc. (NYSE:BKKT), a crypto infrastructure company with a market capitalization of $228 million, announced Monday it has redeemed its outstanding 0.00% convertible debenture due June 18, 2026, eliminating all remaining long-term debt from its balance sheet.
The crypto infrastructure company said the redemption satisfies all obligations under the debenture, which was originally issued in June 2024. Following this transaction, Bakkt now operates with no outstanding long-term debt obligations, maintaining a current ratio of 1.19 according to InvestingPro data.
"Retiring the debenture eliminates a major overhang while further simplifying our capital structure," said Akshay Naheta, CEO of Bakkt, according to the company’s press release statement.
The debt elimination is intended to strengthen the company’s financial position and provide greater balance sheet flexibility as it continues to develop its crypto infrastructure platform.
Bakkt, founded in 2018, provides institutional-grade trading and onramp capabilities for clients involved in the crypto economy. Despite generating revenue of $3.78 billion in the last twelve months, the company faces profitability challenges, with EBITDA at -$73.84 million. The company is headquartered in Alpharetta, Georgia, and trades on the New York Stock Exchange. InvestingPro analysis reveals 12 additional key insights about Bakkt’s financial health and market position.
The announcement comes as part of Bakkt’s ongoing efforts to streamline its financial structure. The company’s management indicated the move would allow them to focus more directly on executing their strategic initiatives.
According to the press release, the debt redemption represents a significant step in the company’s financial management strategy as it positions itself in the evolving cryptocurrency infrastructure sector. The stock has experienced significant volatility, with a year-to-date decline of 61.57%. For detailed analysis and Fair Value estimates, investors can access the comprehensive Pro Research Report available on InvestingPro.
In other recent news, Bakkt Holdings Inc. reported its financial results for the second quarter of 2025, highlighting a year-over-year revenue increase despite facing a challenging crypto market. The company is focusing on strategic shifts, emphasizing its transition towards crypto infrastructure. As part of this strategy, Bakkt has acquired approximately 30% of Marusho Hotta Co., Ltd. and appointed Phillip Lord, President of Bakkt International, as the CEO of MHT. In addition to these developments, Bakkt is in the process of selling its legacy loyalty business and has divested its custody business. Analyst firms have shown optimism, with Clear Street initiating a Buy rating for Bakkt with a price target of $14, suggesting a 44% upside potential. Similarly, Benchmark has also initiated a Buy rating with a $13 price target, citing Bakkt’s restructuring efforts. These recent updates indicate Bakkt’s ongoing efforts to streamline its operations and refocus its growth trajectory.
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