ENDRA Life Sciences raises $4.9 million to launch digital asset treasury

ANN ARBOR, Mich. - ENDRA Life Sciences Inc. (NASDAQ:NDRA), a medical technology company with a current market capitalization of $4.88 million, announced Monday it has secured $4.9 million in commitments for a private placement to establish a digital asset treasury (DAT) strategy focused on cryptocurrency investments. According to InvestingPro data, the company maintains a healthy balance sheet with more cash than debt, though it has been rapidly depleting its cash reserves.

The medical imaging technology company, which develops tools for detecting liver disease, will sell 744,340 shares of common stock or pre-funded warrants at $6.57 per unit. Each unit includes warrants to purchase up to two additional shares at $6.32 each, potentially generating up to $14.4 million if fully exercised. InvestingPro analysis indicates the stock is currently trading at $6.48, showing strong momentum with a 76% return over the past six months, though technical indicators suggest the stock may be overbought.

The company plans to allocate most proceeds toward cryptocurrency acquisitions, with the remainder supporting completion of its TAEUS imaging study for metabolic dysfunction associated liver disease. The private placement is expected to close on or about October 14. With a current ratio of 3.21, ENDRA maintains strong liquidity to meet its short-term obligations, though InvestingPro analysis reveals the company is not yet profitable, with a negative EBITDA of $8.53 million in the last twelve months. Discover 11 more exclusive ProTips and comprehensive financial analysis with an InvestingPro subscription.

ENDRA also intends to appoint Jeff Dorman, Chief Investment Officer at Arca Investment Management, to its Digital Asset Advisory Board. Dorman brings 25 years of trading and asset management experience from firms including Merrill Lynch and Citadel. The company’s next earnings report is scheduled for November 14, where investors can assess the impact of these strategic moves on ENDRA’s financial performance.

"Establishing a digital asset treasury is a logical extension of our capital allocation strategy," said Alexander Tokman, CEO of ENDRA Life Sciences, in a press release statement.

The company’s DAT strategy will focus on cryptocurrencies from decentralized exchanges and protocols, particularly perpetual futures. ENDRA plans to combine long-term digital asset ownership with options overlays, staking and DeFi participation to potentially enhance returns.

Lucid Capital Markets acted as sole placement agent for the offering.

The securities were offered only to accredited investors under Regulation D of the Securities Act of 1933 and have not been registered with the Securities and Exchange Commission.

In other recent news, Endra Life Sciences Inc. has announced the formation of a Cryptocurrency Advisory Board as part of its new cryptocurrency treasury strategy. The company’s board of directors has authorized this initiative, which involves retaining Anchorage Digital Bank, N.A. as the custodian for its cryptocurrency assets. Additionally, Endra has engaged Arca Investment Management, LLC to manage its cryptocurrency holdings and implement a bitcoin-based income-generating strategy. The newly formed advisory board includes James Altucher, an entrepreneur and former hedge fund manager; James Manning, founder and CEO of Mawson Infrastructure Group; and Rayne Steinberg, co-founder and CEO of Arca Investment Management, LLC. These developments mark a significant step for Endra as it ventures into the cryptocurrency space.

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