DeFi Development reports strong growth in Solana holdings and NAV per share

DeFi Development Corp. (DFDV), a Nasdaq-listed company focused on Solana (SOL), reported strong preliminary third-quarter estimates. As of September 30, the company saw its net asset value (NAV) per share more than double compared to August 12. Additionally, its Solana holdings per share grew by double digits.

DFDV increased its SOL holdings by approximately 26,203 tokens since September 28, bringing its total to about 2.56 million SOL and SOL equivalents. The value of these holdings reached $302 million, an 11% increase since the company's last earnings update on August 12. The company attributed this growth to its strategic capital flywheel, which involves raising capital, accumulating SOL, generating yield, and increasing SOL per share.

The company also established a $300 million at-the-market (ATM) program for its CHAD preferred stock in September. Proceeds from this program are primarily used for additional SOL purchases. Notably, DFDV paid its first dividend on CHAD on October 1, marking a milestone for its Nasdaq-listed variable-rate preferred stock. CHAD carries a 13% annual dividend rate on its $10 stated amount, equivalent to $1.30 per share annually.

CEO Joseph Onorati expressed optimism about the company's growth, stating, "The DFDV ship is flying at lightning speed. We have continued buying SOL and have grown our treasury by 11% since August 12. Those gains are adding up. We expect to report double-digit growth in SOL per share and more than a doubling of NAV per share since our August update. Our focus remains on making each common share represent more SOL over time."

DFDV shares were up about 2% in early Monday trading, although the stock is down nearly 70% over the past year.