Sequans Communications Sells 970 BTC to Cut Debt
French semiconductor and IoT-connectivity firm Sequans Communications has sold 970 bitcoins worth $94.5 million to lower its debt burden, joining a growing list of corporations off-loading crypto holdings amid market pressure.
Debt relief through Bitcoin liquidation
The company confirmed the transaction in its financial disclosure, noting that proceeds from the sale will be used to pay down long-term liabilities. According to management, the move immediately reduced the firm’s debt-to-equity ratio from 55 % to 39 %, improving overall balance-sheet health.
Sequans accumulated most of its Bitcoin position during the bull cycle of 2021 and 2022, when BTC traded around $60 000 to $65 000. The sale came as the cryptocurrency’s price hovered near $97 000 after a sharp October decline triggered by U.S.–China trade tensions.
Market reaction and stock decline
Despite the debt reduction, Sequans shares fell 16 % on the Euronext Paris exchange following the announcement. Investors viewed the liquidation as a sign of cash-flow stress rather than strategic repositioning.
At current valuations, the company’s stock remains 60 % below the level recorded during its peak accumulation period — effectively erasing much of the speculative premium tied to its Bitcoin exposure. As a result, Sequans slipped from 29th to 33rd place in the global ranking of corporate Bitcoin holders.
CEO comments and strategic outlook
CEO Georges Karam emphasized that Sequans’ long-term stance toward digital assets remains unchanged: “Bitcoin remains part of our diversification strategy, but operational stability comes first.”
Karam added that the company will reassess its crypto-treasury allocation once macroeconomic conditions stabilize and hardware demand rebounds. Analysts suggest the sale may serve as a test case for other mid-cap firms balancing between debt management and speculative asset holdings.
Broader implications for corporate Bitcoin treasuries
Sequans’ move highlights a growing divergence among corporate adopters of digital assets. While firms such as MicroStrategy and Marathon continue to expand their BTC reserves, others are opting for liquidation amid tightening credit markets and higher financing costs.
The episode also illustrates how Bitcoin exposure, once viewed as a hedge against inflation, can amplify financial volatility when debt levels are high. As the crypto market matures, investors expect more disciplined treasury policies from publicly listed companies.
Conclusion
By selling 970 bitcoins, Sequans Communications temporarily eased its leverage concerns but reignited debate about the role of crypto on corporate balance sheets. The transaction underscores a shifting corporate sentiment — from accumulation toward cautious liquidity, as even long-term believers weigh financial resilience against digital-asset conviction.
Editorial Team — CoinBotLab