Eqonex stock soars 20% on strategic deal with newly launched payment tech company Bifinity
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Eqonex (NASDAQ:EQOS) is collaborating with payments technology company Bifinity UAB, which was launched today by the Binance Group.
Bifinity, which was established in 2021 but officially launched to the market today, has been powering Binance's fiat-to-crypto on and off-ramps, processing millions in transactions globally.
Under the strategic partnership, Bifinity has issued Eqonex a $36M convertible loan facility. The initial conversion price is US$1.89 per share.
Bifinity will have the right to appoint, from within Bifinity, the CEO, CFO, and Chief Legal Officer of Eqonex as well as nominate two seats on Eqonex's board.
The companies said the two will continue to engage in non-binding discussions to explore potential merger opportunities, subject to regulatory approval.
The strategic partnership will initially focus on using Eqonex's Digivault as an FCA regulated custodian, strengthening the technology supporting the Eqonex Exchange, and expanding Bifinity's geographical footprint through Eqonex's licensing framework.
The two companies will also explore opportunities to grow EQONEX's digital asset investment solutions business.
"This transaction marks the next logical step in our company's evolution, representing an important opportunity to grow our footprint and expand our regulated offerings for the benefit of our customers and shareholders." said EqonexChairman Chi-Won Yoon.
In addition, Bifinity said that it has partnered with specialized payments platform, Paysafe and global payments processor, Checkout.com, to grow the Web3 economy by expanding cryptocurrency access worldwide and enabling users to buy and sell crypto safely.
EQOS +19.86% premarket to $1.75