Crypto company Abra to go public in blank-check merger

March 16 (Reuters) – Crypto wealth management platform Abra plans to go public through a merger with blank-check firm New Providence Acquisition Corp III, amid renewed investor interest in digital asset companies, Abra said on Monday. 

After the transaction closes, the combined company will operate as Abra Financial Holdings, Inc., and anticipates listing on the Nasdaq exchange.

Here are some details:

* The transaction is based on a $750 million pre-moneyequity value of Abra * Existing Abra investors, including Pantera Capital andAdams Street, will roll 100% of their interests into thecombined company * “This is just the next logical step for us,” said BillBarhydt, founder and CEO of Abra, in an interview. “We believethat we’re headed for really big things, big growth in thecoming years.” * Abra offers crypto custody, trading and lending forregistered investment advisers, private clients, family officesand hedge funds, and is itself a registered investment adviser  * Abra agreed to a settlement in 2024 with the U.S.Securities and Exchange Commission over allegations that thecompany’s lending product Abra Earn — which has since beenwound down — should have been registered as a security * Also in 2024, Abra settled with 25 state financialregulators after the states found that Abra operated in thejurisdictions without obtaining required licenses

(Reporting by Hannah Lang in New York; editing by Diane Craft)