Siebert to invest $100M into crypto and AI

Siebert Financial Corp announced on June 9 that its shelf registration statement on Form S-3 had been approved by the U.S. SEC, allowing the company to raise up to $100M through the sale of securities. The proceeds will go into buying crypto assets, investing in AI, and potential strategic acquisitions.

Siebert Financial disclosed that the filing’s approval strengthened its financial flexibility. The proceeds may be used to pursue strategic initiatives that align with the company’s long-term vision, including potential acquisitions and the purchase of Bitcoin, Ethereum, and Solana. Other investments in advanced technology across all service lines, including AI-powered solutions, were also in the pipeline.

John Gebbia, the CEO of Siebert Financial, said his company’s shelf registration was a foundational step toward scaling its technology strategy. He added that the company was creating the additional capital access required to make moves decisively in key areas like AI and digital assets.

Reich says capital flexibility helps build value over time

Andrew Reich, Chief Financial Officer of Siebert Financial, also said the company’s ability to access capital on flexible terms enhanced how it could build value over time. He added that the recent filing gave Siebert Financial the option to invest in next-generation technologies and support long-term growth for its shareholders

From time to time, Siebert will offer shares of its common stock, preferred stock, depositary shares, and debt securities. The securities identified can be sold separately or together in any combination, in one or more classes or series, and on terms the company will determine at the time of such offering.

The securities offered will have an aggregate public offering price of up to $100 million, and the company will provide specific terms of any offering in supplement to this prospectus. The securities will also be sold on a continuous or delayed basis directly, through agents, dealers, or underwriters as designated occasionally, or through a combination of these methods. 

If any agents, dealers, or underwriters are involved in selling any securities, the applicable prospectus supplement will include any applicable commissions or discounts. The company and its agents or underwriters reserve the right to accept or reject all or part of any proposed purchase of securities. The company’s statement also included a cautionary note regarding forward-looking statements, which were subject to various risks and uncertainties that could cause actual results to differ from those projected.

Wall Street Zen upgrades Siebert’s stocks rating to ‘strong-buy’

Research analysts at Wall Street Zen upgraded Siebert’s stock rating from a “buy” to a “strong buy,” according to a research note issued to investors. SIEB last released its earnings results on May 13th. The financial services provider reported $0.22 earnings per share for the quarter, with a net margin of 12.83% and a return on equity of 13.92%. The firm had revenue of $28.92 million during the quarter.

Several institutional investors have recently added their stakes in the business based on its Q1 performance. Jane Street Group LLC increased its stake in Siebert by 40.9% during the first quarter, bringing its total shares to 16.44K, valued at $49K, after purchasing an additional 4,775 shares during the last quarter.

Northern Trust Corp increased its stake in the company by 15.1% during the fourth quarter to own 40,583 shares valued at $128K. Geode Capital Management LLC also increased its stake in Siebert by 4.9% during the fourth quarter to own nearly 216,841 shares valued at $685K after purchasing an additional 10,053 shares during the last quarter.

Renaissance Technologies LLC increased its stake in Siebert Financial by 275.0% during the fourth quarter, pumping its holdings to 39K shares valued at $123K after purchasing an additional 28,600 shares during the last quarter. Institutional investors own 1.52% of Siebert’s stock.

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