VivoPower International, listed on Nasdaq, reported significant stock growth following the announcement of a $100 million purchase in Ripple Labs shares.
VivoPower Stock Surge
Following the announcement of the Ripple share purchase, VivoPower shares rose by 32%, reaching $5.10 on Friday. This comes after the company expanded its digital asset strategy with a focus on XRP.
Ripple and XRP Acquisition Strategy
In the company’s press release, it was stated that the decision to purchase the Ripple shares followed two months of due diligence. VivoPower plans to acquire shares directly from existing shareholders, pending approval from Ripple's executive management. CEO Kevin Chin remarked, "Our portfolio construction strategy is to buy a combination of Ripple shares and XRP tokens. This will allow us to optimize for yield maximization while also minimizing the weighted average cost of XRP acquired."
Regulatory Outcomes for Ripple
The company has also settled its lengthy legal battles with the SEC, filing a Joint Stipulation of Dismissal. This action concludes the legal proceedings initiated in December 2020, in which the SEC accused Ripple of selling unregistered securities.
The acquisition of Ripple shares and plans to procure XRP tokens could significantly influence VivoPower’s future and provide investors with a unique opportunity in the growing digital asset market.
