DeFi Development opens $300 million CHAD share sale program

CryptoSlate reports that Solana treasury firm DeFi Development Corp. has launched an at-the-market program to sell up to 30 million shares of its CHAD perpetual preferred stock. Valued at $10 per share, the offering totals $300 million.

The company indicated that net proceeds will cover Solana acquisitions, with the rest directed toward working capital and other strategic projects. Management will determine the specific fund allocation, leaving no fixed percentage for the token.

CHAD shares accrue regular dividends at an initial annual rate of 13 percent, or $1.30 per share. Issuing the full 30 million shares and keeping them outstanding for one year at this level would result in $39 million in total dividend payments. The board may adjust the rate monthly, though reductions are limited to 50 basis points each month.

The program is optional, requiring no minimum issuance. Sales agent R.F. Lafferty is entitled to up to 0.75 percent of gross proceeds.

This follows a separate offering closed on September 8 that raised about $11 million at $8 per share. As of September 11, the company held 2,388,923 SOL and equivalents, an increase of 55,491 SOL from late August.