Nasdaq-Traded Verb Closes $558M Placement for Toncoin Treasury Strategy

Verb Technology Company Inc. explained it has wrapped up a $558 million private placement to launch what it says will be the first publicly traded firm dedicated to holding toncoin (TON) as a treasury reserve asset.

Kingsway-Backed Verb Raises $558M for Toncoin Treasury

The deal, which was oversubscribed and carried out in partnership with Kingsway Capital, involved selling roughly 58.7 million shares. More than 110 institutional and crypto-native investors took part, with Kingsway leading and Vy Capital, Blockchain.com, Ribbit Capital, and Graticule among the anchors.

Verb (Nasdaq: VERB) said most of the net proceeds will go toward acquiring toncoin (TON), the native token of The Open Network (TON) blockchain — a network tied closely to the Telegram messaging app.

The plan is to earn staking rewards from its TON holdings while building its position over time. To match its new focus, the firm will rebrand as TON Strategy Co. (TSC) but keep running its social commerce and video marketing units.

Manuel Stotz, Kingsway founder and CEO and president of the TON Foundation, will become executive chairman. Veronika Kapustina, formerly a senior advisor to the TON Foundation, takes over as CEO. Sarah Olsen, co-founder of Europa Partners and former head of corporate development for Onyx by JPMorgan, steps in as CFO. Blockchain.com CEO Peter Smith will serve as a special advisor.

Cohen & Company Capital Markets acted as lead financial advisor to Kingsway and sole placement agent for Verb. Reed Smith LLP advised Kingsway, while Perkins Coie LLP and Brownstein Hyatt Farber Schreck represented Verb. Morgan Lewis advised Cohen & Company Capital Markets. Verb operates the MARKET.live social shopping platform and owns LyveCom.

Verb’s pivot toward a TON-focused treasury comes as more companies branch out beyond bitcoin balance sheets. While many corporations once followed Michael Saylor’s playbook of stacking BTC, recent moves show growing adoption of ETH, BNB, LTC, XRP, SOL, and other digital assets.

“As the exclusive blockchain infrastructure powering Telegram’s Mini App ecosystem, we believe in the utility and potential growth in adoption of Toncoin,” Verb’s incoming executive chairman, remarked.