Tether Seeks $15 Billion Funding at $500 Billion Valuation with Cantor Fitzgerald Support
According to Bloomberg, Cantor Fitzgerald is promoting Tether Holdings to investors at a potential $500 billion valuation, which could make Cantor’s existing stake worth up to $25 billion.
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Fact Check
The provided evidence from multiple credible sources, including Bloomberg and the Financial Times, consistently corroborates all parts of the statement. The reports confirm Tether is targeting a $500 billion valuation, seeking funding in the range of $15 billion to $20 billion, and that Cantor Fitzgerald is actively involved in advising on or 'pitching' the deal to investors.
Summary
Bloomberg reported that Cantor Fitzgerald is promoting Tether Holdings to investors with a potential valuation of $500 billion. The investment bank, which previously purchased over $600 million in Tether convertible bonds for a 5% equity stake, is helping raise approximately $15 billion. If successful, Cantor’s stake could be valued at around $25 billion. The deal’s structure is still evolving, and it remains uncertain whether the bonds can be converted or transferred to new investors.
Terms & Concepts
- Convertible Bonds: Debt instruments that can be converted into equity, allowing investors to switch from debt to ownership under specific conditions.
- Valuation: An estimate of a company’s total market value, often used to determine investment worth during funding rounds.
- Equity Stake: A portion of ownership in a company, typically acquired through direct investment or convertible instruments.