On the morning of September 22nd, a major surprise hit the markets. Nasdaq-listed AgriFORCE Growing Systems (AGRI) gained over 206% in pre-market trading. This sharp rise was driven by the company's announced new strategy: AgriFORCE announced that it would shift all of its operations to a treasury management model built on the Avalanche (AVAX) blockchain. This made it the first Nasdaq company to center on the Avalanche ecosystem.
The company's new plan isn't just a change of direction; it also includes a massive financing move. According to the announcement, AgriFORCE has developed a $550 million financing model, aiming to accumulate over $700 million in AVAX tokens as a result. For a company with a valuation of just $3.15 million at market close, these figures quickly attracted investor attention.
AgriFORCE was originally known for its agricultural technology expertise. Its past work focused on sustainable agriculture solutions and plant-based food technologies. However, with the new strategy, financial asset management and blockchain-based investments are becoming the company's primary focus.
At the heart of the plan is a robust financing structure. Led by CEO Jolie Kahn, the strategy includes a $300 million PIPE (Private Investment in Public Equity) transaction and an additional $250 million equity-linked financing instrument. These funds are intended to help the company achieve its target AVAX holdings.
AgriFORCE's move is also notable for its advisory team. Its Strategic Advisory Board includes prominent figures from the crypto ecosystem. Anthony Scaramucci from SkyBridge Capital and Brett Tejpaul from Coinbase Institutional are among the most prominent members. In addition, it was announced that it has secured support from over 50 institutions and crypto-focused investors, including ParaFi, Galaxy Digital, and Digital Currency Group.
AgriFORCE stock jumped by as much as 200 percent
Investors' initial reaction to this development was extremely swift. While AVAX's price fell 5 percent due to the market downturn, the situation was different for AgriForce stock. The shares made headlines with a jump exceeding 200 percent in pre-market trading.
