A digital asset treasury company aligned with the Ethereum (ETH) challenger Avalanche (AVAX) has inked a merger deal to accelerate the growth of the ecosystem.
In a statement, Avalanche Treasury Co. (AVAT) says that it entered into a definitive business combination agreement with Mountain Lake Acquisition Corp. (MLAC), a blank check company formed to merge or acquire assets and shares of other businesses.
The deal is valued at over $675 million and aims to create a leading public vehicle for AVAX exposure. The combined company is planning to list on Nasdaq in Q1 2026.
Says AVAT CEO Bart Smith,
“Our purpose is to serve as a growth engine for the entire ecosystem. We intend to deploy capital to empower the best builders and accelerate the most promising technologies on Avalanche, which we believe creates a powerful cycle of value. As the network thrives through our strategic support, the fundamental value of our own treasury can grow with it.”
AVAT offers investors an entry point of 0.77 times the multiple of net asset value (mNAV), representing a 23% discount compared to buying the token directly or through exchange-traded fund (ETF) alternatives.
The firm is eyeing to own more than $1 billion worth of AVAX after becoming a public company. The initial capital raise is expected to raise $460 million in treasury assets.
