Securitize Announces $1.25B SPAC Merger for Nasdaq Listing to Boost Tokenization

Securitize has revealed a $1.25 billion SPAC merger with Cantor Equity Partners II (CEPT) to pursue a Nasdaq listing under the ticker symbol "SECZ". The transaction aims to expand its tokenization services for digital securities, allowing Securitize to tokenize its own equity on blockchain networks, making shares transferable and enhancing liquidity.

Existing investors, including BlackRock, ARK Invest, and Morgan Stanley Investment Management, will roll their stakes into the combined entity. A $225 million private investment in public equity (PIPE) financing round, led by Arche and ParaFi Capital, will bring additional institutional capital, with total proceeds expected to reach up to $469 million from the PIPE and Cantor's trust account.

Securitize's platform currently underpins over $22 billion in real-world assets and has been pivotal in launching BlackRock's $2.8 billion USD Institutional Digital Liquidity Fund (BUIDL). The company manages $4.5 billion in on-chain assets and collaborates with major institutions like Apollo and VanEck. CEO Carlos Domingo described BlackRock's BUIDL as a "catalyst" for tokenization and cited Circle's recent IPO as motivation for the public listing, stating, "We started thinking, maybe this makes sense for us. We've been really pushing for the company to become profitable, and I think there are a lot of opportunities."

The SPAC shares (CEPT) traded 6.5% to 7% lower in premarket activity, settling around $11.93 to $12.00. Domingo indicated that the public debut is likely in early 2025, pending regulatory approvals and the end of the U.S. government shutdown. He highlighted that Securitize employs 230 people and has achieved profitability, with Citi analysts projecting the tokenization sector could grow to $5 trillion by 2030.