A Nasdaq-listed biotech firm is undertaking a dramatic late-stage pivot into crypto, raising $212 million to build what it calls the first corporate treasury centered on a prediction market token with former Italian Prime Minister Matteo Renzi joining its board to steer policy strategy.
Enlivex Therapeutics (ENLV), a clinical-stage macrophage reprogramming immunotherapy company, said Monday it will raise $212 million through a private investment in public equity, issuing 212 million shares at $1 each. The price marks an 11.5% discount to Friday’s close, according to its filing with the US Securities and Exchange Commission.
The company plans to deploy most of the proceeds into Rain (RAIN), the utility token powering the Rain decentralized prediction market on Arbitrum. Enlivex says the move represents the first corporate strategy built around a prediction market token.
Enlivex chose the Rain protocol because its “decentralized” design offered a “scalable model which supports global access and growth.” The company expects to complete its Rain purchases within 30 days of the offering’s close.
Rain is currently the 10th-largest prediction market in crypto, with $1 million in total value locked and $73,378 in monthly revenue over the past 30 days, according to DefiLlama.
By comparison, Polymarket has a $259 million TVL but does not disclose monthly revenue.
Launched on Sept. 9, the Rain token holds a market capitalization of $862 million, ranking 203rd. Its price has climbed more than 9% in the past month and roughly 795% since launch, per CoinMarketCap.
Enlivex’s own stock is down 23% year-to-date and more than 16% over the past month, according to Google Finance.
Former Italian prime minister Renzi joins the board
As part of the pivot, Enlivex announced that former Italian Prime Minister Matteo Renzi will join its board to support the company’s treasury and policy strategy. Renzi, currently a senator representing Florence, also serves on JPMorgan’s International Council.
Renzi will help guide strategic and regulatory decisions and strengthen international relationships, Enlivex said.
The real potential is in blockchain technologies and in the emergence of prediction-driven models that encourage greater clarity, participation, transparency and long-term thinking.
Source: Google Finance
A difficult environment for digital asset treasuries
Enlivex’s move comes as smaller digital asset treasuries face increasing financial pressure. Declines in stock and crypto prices are eroding net asset values, making it harder for companies with limited runways to raise new capital.
The mNAV ratio which compares a company’s enterprise value to the value of its crypto holdings becomes a hurdle when it falls below 1, limiting the ability to raise funds through new share issuances.
Other DATs have also seen sharp declines in their mNAVs, including Strategy, Bitmine, Metaplanet, Sharplink Gaming, Upexi and DeFi Development Corp.