MEI Pharma is initiating a new strategy by making Litecoin its primary reserve asset, marking a significant step for crypto investments in traditional companies.
First Public Company to Adopt LTC as Reserve
MEI Pharma is the first public company to adopt Litecoin as a primary treasury reserve asset. Often referred to as 'the silver to Bitcoin's gold', Litecoin has established itself as a fast and reliable cryptocurrency. This move reflects growing institutional confidence in LTC.
Investments and Strategic Partnership
The company announced a $100 million private placement at $3.42 per share. As part of the deal, Litecoin creator Charlie Lee will join MEI's Board of Directors, replacing Taheer Datoo. Additionally, MEI has appointed GSR as its digital asset advisor to assist in launching its unique Litecoin Treasury Strategy.
Market Reaction and Future Plans
MEI Pharma's stock surged by over 50% in early trading on Friday, reaching a peak of $9 before pulling back to $5.91. Litecoin also experienced an increase, trading at $104.91. The placement deal is set to close by July 22, 2025, after which MEI will file a resale registration statement with the SEC.
This decision by MEI Pharma highlights the increasing acceptance of cryptocurrencies in traditional financial systems and suggests the potential for broader use of Litecoin in real transactions.
