US-listed VivoPower plans to acquire a stake in Ripple Labs for $300 million.
PANews reported on December 18th that, according to CoinDesk, Nasdaq-listed VivoPower (ticker symbol: VVPR) is expanding its Ripple-related strategy through a new joint venture aimed at acquiring hundreds of millions of dollars worth of Ripple Labs shares, giving investors indirect access to nearly $1 billion worth of underlying XRP assets. In an announcement released Tuesday, the company stated that its digital asset division, Vivo Federation, has been commissioned by South Korean asset management firm Lean Ventures to initially acquire $300 million worth of Ripple Labs equity.
Based on the current XRP price, VivoPower estimates that this equity stake represents approximately 450 million XRP tokens, worth about $900 million. However, this structure does not directly purchase XRP. Instead, Lean Ventures plans to establish a dedicated investment vehicle to hold the Ripple Labs shares acquired by Vivo Federation, targeting institutional and accredited individual investors in South Korea. VivoPower stated that it has received approval from Ripple to purchase the initial preferred shares and is in talks with existing institutional shareholders regarding further acquisitions. Under this arrangement, VivoPower will not contribute its own balance sheet funds but will generate revenue through management fees and performance-based compensation. If the initial $300 million mandate is achieved, the company aims to achieve a net economic return of $75 million within three years.
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