Ripple-backed Evernorth has lost nearly 47% since its October Nasdaq listing. Meanwhile, a new filing lists 73.7 million shares that holders could resell, raising fears of fresh selling pressure.
The overhang could test investor confidence in one of the largest corporate bets on XRP.
Evernorth Faces a 73.7 Million Share Overhang
Evernorth, an XRP treasury company trading under the ticker XRPN, holds about 473 million XRP. Its strategy centers on growing XRP holdings per share.
The company debuted on October 12 and hit a high of $19.39. However, the stock closed at a record low of $10.05 on November 5.
As a result, the decline has erased much of the early enthusiasm surrounding the listing.
Notably, investors redeemed about 80% of the SPAC’s public shares before the merger closed on October 9.
Meanwhile, a preliminary S-1 filing from October 30 registers 73.7 million Class A shares for 21 securityholders. That figure equals nearly three times the outstanding Class A stock.
Who Could Sell Evernorth Shares, and When?
Several major backers appear on the resale list. The largest registered holders include:
- Arrington XRP Capital Fund: about 33.82 million shares.
- Ripple Labs: roughly 18.14 million shares.
- Four SBI-affiliated entities: about 11.79 million shares combined.
- Larsen Lam Children’s Remainder Trust: around 7.15 million shares, linked to Ripple co-founder Chris Larsen.
Smaller holders include Pantera, GSR, Kraken parent Payward, and gumi. However, the filing does not confirm that anyone has sold or plans to sell.
Evernorth will also receive no proceeds from any resales.
Still, lock-ups offer some protection for now. Ripple, the Arrington sponsor, and the Larsen-linked entity agreed to six-month restrictions that generally expire on April 9, 2027.
Overhangs like this often worry investors, because even the possibility of large sales can pressure a newly listed stock. Meanwhile, XRP traded near $1.24, down nearly 5% in 24 hours.
