Sequans Communications Reduces Debt by Selling Bitcoin

According to Odaily, semiconductor company Sequans Communications, listed on the NYSE under the ticker SQNS, has reduced its total debt by selling 970 bitcoins. This move has halved the company's convertible bonds, bringing its total debt down from $189 million to $94.5 million. Currently, Sequans holds 2,264 bitcoins, a decrease from its previous holding of 3,234. Based on current market prices, the net asset value of its bitcoin holdings is approximately $240 million, reducing the debt-to-net asset value ratio from 55% to 39%. CEO Georges Karam stated that the company's bitcoin allocation strategy and long-term belief remain unchanged. The sale was a tactical decision influenced by market conditions, aimed at optimizing the balance sheet and enhancing shareholder value. This debt reduction is expected to bolster the company's previously announced ADS repurchase plan. Sequans primarily focuses on IoT wireless 4G/5G cellular technology.