$XRP Ripple said the $275 million raised will support its expansion into traditional financial services such as prime brokerage and multi-asset clearing, citing strong demand from institutions.
Ripple raised $275 million in a senior note offering that closed on Tuesday to support blockchain enterprise solutions provider’s ongoing US business expansion into financial services.
The senior unsecured notes were issued in a private placement by the company’s non-bank prime brokerage, Ripple Prime, the company announced on Tuesday. Ripple said the note offering attracted a diverse base of institutional investors from financial markets.
Ripple Prime President Noel Kimmel said that the support received during the note offering is a signal of “confidence in our long-term vision for the growing intersection of traditional and digital asset financial infrastructure.”
$XRP Ripple said the proceeds of the offering will be used to support its expansion into financial services including prime brokerage, financing and multi-asset clearing.
The company acquired Hidden Road last year in a roughly $1.25 billion deal. That acquisition allowed the Ripple to launch its institutional prime brokerage business, which was later rebranded as Ripple Prime.
In May, Ripple secured a $200 million credit facility from funds managed by Neuberger Berman to expand the lending capacity of its institutional prime brokerage business.
In July, it launched Ripple Mint, a platform that gives institutions new ways to access, mint, redeem and manage its US dollar-pegged stablecoin, Ripple USD (RLUSD). At last look, RLUSD has a market cap of $1.76 billion,