XRP Buying Power Depends on Armada SPAC Redemptions

Armada Acquisition Corp. II shareholders have until 5 p.m. Eastern on Sept. 28 to request redemptions, ahead of a Sept. 30 vote on its merger with XRP treasury company Evernorth Holdings. Each redeemed public share reduces trust cash that could otherwise support future XRP purchases. Armada's proxy reported about $241.9 million in trust on Aug. 20, but does not disclose how many shareholders will redeem.

Evernorth is expected to have at least 473,276,430 XRP in its treasury at closing under the proxy's assumptions. That figure combines previously purchased tokens and agreed contributions; it is not a forecast of new post-merger buying. A favorable vote also would not, by itself, mean the merger has closed or that trust cash will go to XRP.

Why it matters

Redemptions change the cash potentially available to Evernorth, while transaction expenses and other corporate needs may reduce it further. The proxy's illustrative redemption value was about $10.52 per share, based on the Aug. 20 trust balance. Final redemption and trust figures will depend on later disclosures.

A separate Sept. 11 agreement for $30 million of 4% convertible senior payment-in-kind notes due 2031 offers another possible source of funds. The notes would be funded at closing, but Evernorth says proceeds may go to general corporate purposes, including XRP purchases and other XRP ecosystem activity. Net proceeds would also be reduced by expenses.

Market impact

At a reference price of about $1.54 per XRP on Sept. 27, spending the full $30 million on tokens would buy roughly 19.5 million XRP, while spending the entire Aug. 20 trust balance would buy roughly 157 million. These are upper-bound illustrations, not expected purchases: they assume the merger closes, no expenses or redemptions where applicable, and all funds go to XRP at an unchanged price.

The actual demand signal will depend on closing cash and Evernorth's disclosed use of proceeds. The redemption tally, closing statement and later treasury disclosures will show whether potential buying power translates into XRP purchases.