# Evernorth Completes XRP Treasury Merger With Accounting Still Pending

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/29900
Published: 2026-10-11T19:07:12.000Z
Updated: 2026-10-11T19:07:12.000Z
Section: Business

> The company expects to hold at least 473,276,430 XRP, but its final post-merger accounting treatment will not be known until financial statements are filed.

Evernorth Holdings completed its business combination with Armada Acquisition Corp. II on Oct. 9, creating a publicly traded XRP treasury company whose final accounting treatment remains pending its first post-merger financial statements.

The registration filing described Evernorth’s XRP holdings as expected to qualify for fair-value accounting after the ownership change. Under that treatment, changes in XRP’s market value could flow through earnings, subject to the accounting standard’s requirements.

The available closing Form 8-K does not include Evernorth’s first post-merger financial statements or a final reported earnings impact. The filing therefore does not establish how the company ultimately applied the accounting treatment after completing the transaction.

Transaction documents projected an expected closing balance of at least 473,276,430 XRP. The amount included 126,791,458 XRP contributed by Ripple, 211,319,096.061435 XRP from the sponsor, 50 million XRP from a Ripple-related entity, 84,365,876.3625 XRP purchased for $214 million at an average price of $2.53657058 per XRP, and 800,000 XRP from other subscribers.

The projected balance was assembled through purchases and in-kind contributions. It does not represent 473 million XRP of new open-market buying or independently confirm the company’s on-chain holdings on Oct. 9.

The closing pro forma financial information valued the Ripple-related contribution using an XRP price of $1.43069 and recorded 7,153,450 total equity interests under the related agreement.

About 18,463,753 Armada Class A shares were redeemed for approximately $195.39 million, or about $10.58 per share, on Sept. 30. Evernorth’s Class A shares are registered under XRPN, while its warrants are registered under XRPNW.

Evernorth has described itself as an actively managed XRP treasury rather than a passive holding vehicle. Its planned activities include institutional lending, liquidity provision, decentralized-finance yield opportunities, validator participation and capital-markets strategies.

“Evernorth is built to provide investors more than just exposure to XRP’s price,” Asheesh Birla, founder and CEO of Evernorth, said. Birla also said, “Tying the share count to XRP’s value at closing is the right thing to do for Evernorth and our investors.”

The company’s first post-merger financial statements will provide the next concrete indication of its applied accounting treatment and reported earnings impact.