Company Set to Merge for Altcoin Treasury Sees Shares Nearly Quadruple in a Week!
Shares of Armada Acquisition Corp. II, which is preparing to take XRP treasury company Evernorth public, rose approximately 273% in a week ahead of the merger expected to be completed on October 7.
According to trading data reported by CoinDesk, Armada shares, which trade under the ticker XRPN, closed Friday up 68% at $39.42. The share price was $10.58 a week earlier and briefly reached $53 during the week. Shares rose an additional approximately 9.5% in premarket trading on Monday.
What’s happening with the shares ahead of the merger?
Armada is a special purpose acquisition company, or SPAC, formed to merge with a private company and take it public. Before the merger is completed, investors can ask to redeem their shares for their portion of the money in the company’s trust account.
That account held $241.2 million at the end of June. According to a filing dated October 1, approximately $48 million is expected to remain in the account for the transaction. CoinDesk’s calculation suggests that approximately 80% of the funds will be returned to investors; the final number of shares redeemed has not yet been disclosed.
A reduction in the number of shares in circulation can make even small orders move the price more sharply. This possibility matters to investors watching the high volatility in the shares ahead of the merger.
Targeting 473 million XRP at closing
Evernorth expects the merger to be completed on Wednesday, October 7, provided the remaining conditions are met, with the combined company expected to begin trading on Thursday, October 8. The 473 million XRP the company plans to hold at closing are worth $714 million at Monday’s price of approximately $1.51.
The financing package, expected to provide approximately $300 million in cash before expenses, includes private placements, convertible notes, and the funds that will remain in Armada’s account. Backers also made direct XRP contributions.
Evernorth’s 84.4 million XRP, acquired for $214.1 million by the end of 2025, have an average cost of approximately $2.54. At Monday’s price, those assets are worth approximately $127 million; despite the sharp rise in the shares, the market value of these XRP purchases remains below their cost.