Fitell Corporation Completes Initial $10 million Solana (SOL) Purchase Following the First Closing under $100M Financing Facility
Rhea-AI Summary
Fitell Corporation (NASDAQ: FTEL) has completed its initial purchase of 46,144 Solana (SOL) tokens for approximately $10 million, marking the first strategic acquisition under its newly announced Solana treasury initiative. This purchase follows the first closing of the company's recently announced $100 million financing facility.
Under the facility's terms, at least 70% of net proceeds from each subsequent closing will be allocated to cryptocurrency acquisitions for the treasury reserve, with the remainder designated for crypto operations, on-chain initiatives, and working capital. The company plans to make additional SOL purchases using proceeds from the first closing.
Positive
- Initial strategic acquisition of 46,144 SOL tokens worth $10M demonstrates swift execution
- Secured $100M financing facility for cryptocurrency initiatives
- Minimum 70% of future proceeds allocated to crypto treasury building
- Company has established customer base with over 100,000 served
Negative
- Significant exposure to volatile cryptocurrency market risks
- Substantial shift from core fitness equipment business model
- Large capital allocation to crypto assets may impact working capital availability
News Market Reaction
On the day this news was published, FTEL declined 21.39%, reflecting a significant negative market reaction. Argus tracked a trough of -15.2% from its starting point during tracking. Our momentum scanner triggered 17 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $3M from the company's valuation, bringing the market cap to $11M at that time. Trading volume was elevated at 2.3x the daily average, suggesting increased selling activity.
Data tracked by StockTitan Argus on the day of publication.
Taren Point, Australia, Sept. 24, 2025 (GLOBE NEWSWIRE) -- Fitell Corporation (NASDAQ: FTEL) (“FTEL” or the “Company”), today announced its initial acquisition of 46,144 Solana (SOL) for approximately
“This initial
The SOL purchase follows the first closing under the Company’s
FTEL will provide periodic updates as it expands its treasury reserve.
About Fitell Corporation
Fitell Corporation, through GD Wellness Pty Ltd (“GD”), its wholly owned subsidiary, is an online retailer of gym and fitness equipment both under its proprietary brands and other brand names in Australia. The company’s mission is to build an ecosystem with a whole fitness and wellness experience powered by technology to our customers. GD has served over 100,000 customers with large portions of sales from repeat customers over the years. The Company’s brand portfolio can be categorized into three proprietary brands under its Gym Direct brand: Muscle Motion, Rapid Motion, and FleetX, in over 2,000 stock-keeping units (SKUs). For additional information, please visit the Company’s website at www.fitellcorp.com.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact in this press release are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties, including market and other conditions, and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as “may,” “will,” “could,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “propose,” “potential,” “continue” or similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and other filings with the SEC.
For more information, please contact:
Chief Financial Officer
Edwin Tam
edwin@gymdirect.com.au
Investor Relations
ir@fitellcorp.com
FAQ
How many Solana (SOL) tokens did Fitell Corporation (FTEL) purchase in September 2025?
What is the size of FTEL's new financing facility announced in September 2025?
How will Fitell Corporation use the proceeds from its $100M financing facility?
What is Fitell Corporation's core business?
How many customers has Fitell Corporation served through GD Wellness?
