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- A $675 million deal has emerged involving $460 million in treasury assets and a discounted AVAX token purchase.
- Avalanche Treasury Co. is set to go public on Nasdaq in Q1 2026 through a merger with MLAC.
Avalanche Treasury Co. has agreed to merge with Mountain Lake Acquisition Corp. (MLAC) in a deal valued at more than $675 million.
The company, which is aligned with the Avalanche Foundation, will become a public vehicle for exposure to the AVAX coin. It plans to list on Nasdaq in the first quarter of 2026, subject to shareholder and regulatory approval.
$675 Million Combination with AVAX at the Core
The deal is made up of around $460 million in treasury assets, supported by a private equity placement. Avalanche Treasury Co. also begins with a $200 million AVAX token purchase at a discount. The terms provide investors with an entry point equivalent to 0.77 times the net asset value, representing a 23% discount compared to direct purchases or exchange-traded funds.
As mentioned in our previous news brief, the company’s target is to hold more than $1 billion worth of AVAX after going public. Its approach is not limited to holding just AVAX but will involve active participation in the Avalanche ecosystem.
Bart Smith, Chief Executive Officer, stated that the company was established to provide institutions with more than just simple token exposure. He explained that the focus is to deploy capital into the network in ways that can help growth and bring value back to the treasury.
The board of the combined company will feature both finance and crypto industry leaders. Emin Gün Sirer, founder of Ava Labs, will serve as a strategic advisor. John Nahas, Chief Business Officer of Ava Labs, will join the board. Other names on the advisory team include Haseeb Qureshi of Dragonfly Capital, Aave founder Stani Kulechov, and Blockworks co-founder Jason Yanowitz.
Backing from Leading Investors and Future Plans
A wide range of investors is supporting the transaction. These include Dragonfly, ParaFi Capital, VanEck, Galaxy Digital, Pantera Capital, CoinFund, and Kraken, alongside others. FalconX will provide trading and credit services, while Monarq will oversee asset management for the company’s treasury.
Avalanche Treasury Co. intends to use its capital to strengthen the network. Its plan rests on three areas: targeted protocol investment, partnerships with enterprises building on-chain systems for payments and stablecoins, and direct support for new blockchains with validator resources and liquidity.
Smith said the purpose of Avalanche Treasury Co. is to help the Avalanche ecosystem expand. He noted that as the network grows, the value of the treasury can also rise. The company views its success as tied to the growth of Avalanche.
The merger is expected to close in the first quarter of 2026, with Avalanche Treasury Co. aiming to become a leading public avenue for institutional access to AVAX. Meanwhile, in a separate update, CNF noted that JPYC became the first in Japan to issue a yen-pegged stablecoin backed by bonds and deposits on the Avalanche blockchain.
These latest updates have helped uplift the AVAX price in the crypto market. As of writing, the coin was changing hands for $30.56, up 3.3% in the past 24 hours.
