Ripple Plans to Buy Back $285 Million Worth of Stock, Company Valuation Reaches $11 Billion

Cryptocurrency company Ripple Labs, renowned for its XRP token, is reportedly repurchasing $285 million worth of company stock from early investors and employees, according to two sources familiar with the matter. This investment, also referred to as a tender offer, values the company at $11.3 billion. Insiders have specified that investors can sell a maximum of 6% of their shares. The privately-held company has confirmed the tender offer and stated its intention to spend $500 million in the planned buyback to cover the costs and taxes associated with converting restricted stock units into shares. Ripple CEO Brad Garlinghouse has indicated that the company plans to conduct regular stock buybacks to provide liquidity for investors and has no immediate plans for a U.S. listing due to regulatory uncertainties. Additionally, Ripple currently holds over $1 billion in cash on its balance sheet and cryptocurrency assets worth over $25 billion, with the majority being in XRP coins.