DFDV's cash doubles and its SOL debt shrinks ahead of third-quarter results

DeFi Development Corp. (NASDAQ: DFDV) told investors Monday that it expects its cash and cash equivalents to have more than doubled from Aug. 12 to Sept. 30. It also expects a decrease in notional SOL-denominated borrowings over the same period.

Both figures were from preliminary third-quarter estimates from the Solana treasury company. Its stash now sits near 2.56 million SOL.

NAV per share jumps over 100% in about seven weeks

DFDV’s net asset value, or NAV, includes cash plus SOL holdings, minus SOL-denominated liabilities, other debt and preferred equity. Based on this, the company expects NAV per share to have increased by more than 100% in some seven weeks.

NAV divided by adjusted common shares, which include restricted stock units, vested options and in-the-money warrants and convertibles, is the NAV per share. DFDV said that neither measure is GAAP book value.

The company also anticipates double-digit growth in SOL per common share and in total SOL. DFDV cautioned that figures are unaudited and remain subject to financial close.

Treasury holdings climbed to ~2,564,212 SOL and SOL equivalents, worth ~$302M. DFDV added close to 26,203 of those tokens after Sept. 28.

Holdings have advanced about 11% since the August earnings update.

“The DFDV ship is flying at lightning speed,” CEO Joseph Onorati said in a statement. “We expect to report double digit growth in SOL per share and more than a doubling of NAV per share since our August update,” Onorati added.

CHAD pays its first dividend at a 13% annual rate

DFDV says a $300 million at-the-market program for CHAD, its preferred stock trading on Nasdaq, furnishes new capital for SOL purchases.

CHAD paid its first dividend Oct. 1. It has a 13% annual rate on its $10 stated amount.

The 13% rate is $1.30 per share per year, payable every business day when declared. DFDV said that organic income from validator fees and staking rewards in its SOL treasury gives it the ability to cover the dividend.

SOL outperformed the Nasdaq-100 by 56% in the third quarter and DFDV outperformed SOL by 1.5x, the company said.

DFDV stock closed about 4% higher on Monday but is still down about 66% over the past year. Solana treasury firms lost heavily during the same period.

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