Australian Solana treasury buys over 200 million PUMP tokens

Australia-based Fitell Corporation said Thursday it has purchased 216.8 million PUMP tokens.

The company said it paid $1.5 million for the tokens, according to a statement . PUMP is the native token to Pump.fun, the Solana-based memecoin launchpad.

"We are deepening our participation in Solana’s growth story, while diversifying our digital asset treasury to position us to capture long-term growth opportunities for our stakeholders," said Fitell's CEO Sam Lu.

PUMP has a market cap of $2.5 billion and is up over 90% in the past month.

Last month, Fitell said it had entered into an up to $100 million convertible note facility with a U.S.-based institutional investor. From the initial closing of the financing facility, $10 million was earmarked for purchasing SOL, it also said.

An ambitious plan, given the Nasdaq-listed company's market cap is a mere $6.8 million. Fitell's shares declined 15% on Thursday to $5.14.

The company has also said that it wants to eventually generate yields by deploying SOL assets across "structured products."

Before pivoting to becoming a digital asset treasury, Fitell operated as an online retailer of gym and fitness equipment. The company plans to rebrand as Solana Australia Corporation.