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VivoPower International PLC (VVPR) announced plans to purchase $100 million of privately held Ripple Labs shares, marking what the company describes as the first U.S.-listed company to provide exposure to Ripple.
The acquisition involves definitive agreements with current Ripple shareholders, subject to approval from Ripple’s executive management. VivoPower states the purchase would effectively value XRP tokens at an implied $0.47 per token, compared to current market prices.
Ripple holds 41 billion XRP tokens, representing approximately 41% of all XRP tokens in circulation from the original 100 billion minted. The company also operates businesses including RLUSD stablecoin, digital assets broker Hidden Road, and custody services MetaCo and Standard Custody and Trust Company.
According to VivoPower, the strategy aims to acquire XRP at what it calculates as an 86% discount to market prices by purchasing Ripple shares at a weighted average valuation of approximately $19 billion. The company estimates this represents acquiring Ripple’s XRP holdings at $0.47 per token versus current market rates.
"The opportunity to acquire Ripple shares and materially average down the acquisition price per XRP is in line with our objective of building a sustainable long-term treasury model," said Kevin Chin, Executive Chairman and CEO of VivoPower.
VivoPower will hold direct legal title to purchased Ripple shares and be recorded on Ripple’s shareholder registry. The company has engaged BitGo for digital asset custody and Nasdaq Private Market for securities infrastructure.
The London-based company is transforming from sustainable energy solutions into what it calls an "XRP-focused digital asset enterprise." VivoPower has operated globally since 2014 and listed on Nasdaq in 2016.