DeFi Development closes $11M CHAD offering
- DeFi Development Corp. has raised about $11 million through its CHAD preferred-stock offering.
- The shares carry a 13% initial annual dividend rate and a $10 stated value.
- The company plans to use most of the net proceeds to buy more Solana.
DeFi Development Corp. has raised about $11 million through its CHAD preferred-stock offering to fund more Solana purchases.
The company issued 1.375 million CHAD shares at $8 each, giving the security a $10 stated value and a 13% initial dividend rate.
“CHAD represents a major milestone for DFDV and for the evolution of Digital Credit,” said Joseph Onorati, Chief Executive Officer and Chairman of the Board.
CHAD is a variable-rate perpetual preferred stock listed on Nasdaq, with an initial effective yield of about 16.25% based on its $8 offering price.
DeFi Development has recently bought about 19,000 Solana (CRYPTO:SOL), taking its holdings to roughly 2.33 million SOL and SOL equivalents.
The company has said CHAD will provide another source of capital for its Solana treasury without increasing its common share count, while dividends are scheduled to begin on October 1.
At the time of reporting, Solana price was $103.41.
