Sequans Communications Announces Completion of ADS Repurchase Program and Approval of New Buyback Authorization

Rhea-AI Summary

Sequans Communications (NYSE: SQNS) completed its prior ADS repurchase program and announced a new buyback authorization on December 18, 2025. As of December 17, 2025, Sequans repurchased 1,516,973 ADSs (~9.7% of outstanding ADSs) at an average price of $6.17 per ADS, including fees. Post-repurchase ADS outstanding are ~14.5 million (or ~15.5 million including potential exercise of pre-funded warrants). The reduction increased Bitcoin-per-ADS yield by 6.1% (assuming warrant exercise). The repurchases were funded from proceeds of recent Bitcoin dispositions, and the Board authorized a new program to buy back up to an additional 10% of outstanding ADSs, to be executed based on market conditions.

Positive

• Repurchased 1,516,973 ADSs (~9.7% outstanding)
• Average repurchase price was $6.17 per ADS
• Board authorized buyback of up to an additional 10%

Negative

• Repurchases funded by Bitcoin dispositions, reducing Bitcoin holdings
• New program timing and size depend on market conditions and may be uncertain

Key Figures

ADS repurchased 1,516,973 ADSs Total under completed repurchase program as of Dec 17, 2025

Portion of ADSs 9.7% of outstanding ADSs Share of company’s ADSs repurchased in completed program

Average repurchase price $6.17 per ADS Including fees and commissions for completed buyback

ADS outstanding 14.5 million ADSs Current ADS outstanding after repurchases

ADS including warrants 15.5 million ADSs Outstanding assuming exercise of pre-funded warrants

Bitcoin yield per ADS 6.1% increase Yield in Bitcoin per outstanding ADS from completed buyback

New buyback size Up to 10% of ADSs Board authorization for additional ADS repurchase program

Market Reality Check

$5.10 Last Close

Volume Volume 287,253 vs 20-day average 169,189 (relative volume 1.7x). high

Technical Shares at $5.10, trading below the 200-day MA of $14.66 after a -7.1% pre-news 24h move.

Peers on Argus

Peers show mixed moves: Everspin (MRAM) -4.95%, Magnachip (MX) -1.54%, Valens (VLN) -4.52%, while Intchains (ICG) +10.76% and Nano Labs (NA) +0.67%. The pre-news -7.1% in SQNS appears more stock-specific than sector-driven.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Nov 19	Buyback update	Positive	-7.0%	Reported progress on ADS buyback funded by Bitcoin and cash flow.
Nov 12	Customer win	Positive	+2.7%	OKI selected Monarch platform for zero‑energy IoT infrastructure monitoring.
Nov 12	Conference participation	Positive	+2.7%	CEO participation at Roth Technology Conference to meet investors.
Nov 04	Prelim earnings	Negative	-16.6%	Preliminary Q3 2025 with sharply lower revenue and net loss.
Nov 04	Debt reduction	Positive	-16.6%	Redeemed 50% of July 2025 convertible debt via Bitcoin sales.

Pattern Detected

Positive strategic news (buybacks, debt reduction, partnerships) has often met with muted or negative next-day reactions, while clearly weak earnings aligned with a sharp selloff.

Recent Company History

Over recent months, Sequans combined a Bitcoin-focused treasury strategy with significant balance sheet and capital allocation moves. On Sep 30, it launched an ADS buyback authorizing up to 1.57M ADSs (~10%). A Nov 19 update highlighted partial execution funded by Bitcoin sales. On Nov 4, preliminary Q3 2025 results showed sharply lower revenue and sizable losses, alongside redeeming 50% of its $189M convertible debt using Bitcoin proceeds. Today’s completion of the initial buyback and new authorization continues that capital return focus.

Market Pulse Summary

This announcement details completion of Sequans’ initial ADS buyback, totaling 1,516,973 ADSs (~9.7% of outstanding), at an average price of $6.17, and approval of a new program for up to an additional 10%. Funded by Bitcoin dispositions, the moves aim to increase Bitcoin per ADS and signal disciplined capital allocation. Investors may track future repurchase pace, Bitcoin treasury decisions, and the core IoT semiconductor business performance.

Key Terms

american depositary shares financial

"Sequans has repurchased a total of 1,516,973 American Depositary Shares ("ADSs")"

American depositary shares (ADSs) are a way for investors in the United States to buy shares of foreign companies without dealing with international markets directly. They represent ownership in a foreign company's stock and are traded on U.S. stock exchanges, making it easier for American investors to buy, sell, and own parts of companies from around the world.

ads financial

"representing approximately 9.7% of the Company's outstanding ADSs."

Ads are paid promotional messages a company places across media — online, on TV, in print, or on social platforms — to attract customers, explain products, or shape public perception. For investors, ads matter because they drive sales growth, affect how much a company must spend to win customers, and influence brand strength and long-term value. Ads can also create regulatory or reputational risk if claims are misleading, which can affect profits and stock price.

pre-funded warrants financial

"or 15.5 million, including the potential exercise of pre-funded warrants"

Pre-funded warrants are financial instruments that give investors the right to purchase a company's stock at a set price, but with most or all of the purchase price paid upfront. They function like a coupon or gift card for stock, allowing investors to buy shares later at a fixed price, which can be beneficial if they want to avoid future price increases. This makes them important for investors seeking flexibility and certainty in their investment plans.

nav financial

"By repurchasing shares at prices below NAV and continuing to optimize"

Net asset value (NAV) is the total value of all the investments and assets in a fund or company, minus any debts or liabilities, divided by the number of shares or units outstanding. It represents the per-share worth, giving investors an idea of what each share is truly worth based on the underlying assets. Think of it like a company's total worth divided among its shares, helping investors assess whether a share is fairly priced.

bitcoin treasury financial

"pioneer in Bitcoin treasury and a leading provider of 5G/4G"

A bitcoin treasury is a collection of bitcoin holdings owned by a company or organization, similar to how a savings account stores money. It represents a strategic reserve of digital currency that can be used for investments, operational costs, or future growth. For investors, a bitcoin treasury can signal financial strength or a company's confidence in cryptocurrencies as part of its long-term plans.

AI-generated analysis. Not financial advice.

Paris, France--(Newsfile Corp. - December 18, 2025) - Sequans Communications S.A. (NYSE: SQNS) ("Sequans" or the "Company"), a pioneer in Bitcoin treasury and a leading provider of 5G/4G cellular IoT semiconductor solutions, today announced the successful completion of its previously authorized ADS repurchase program and the approval of a new program by its Board of Directors.

As of December 17, 2025, Sequans has repurchased a total of 1,516,973 American Depositary Shares ("ADSs"), representing approximately 9.7% of the Company's outstanding ADSs. The repurchases were completed at an average price of $6.17 per ADS, including fees and commissions. Following these repurchases, the current number of ADS outstanding is approximately 14.5 million (or 15.5 million, including the potential exercise of pre-funded warrants). The reduction in the number of outstanding ADSs generated a 6.1% yield in Bitcoin per outstanding ADS (assuming exercise of pre-funded warrants). The ADS repurchases were funded through proceeds received from the Company's recent Bitcoin dispositions, demonstrating Sequans disciplined capital allocation strategy.

"Completing our initial buyback program and launching a new one underscores our commitment to enhancing shareholder value," said Dr. Georges Karam, CEO of Sequans. "By repurchasing shares at prices below NAV and continuing to optimize our Bitcoin treasury strategy, we are increasing Bitcoin per share and reinforcing our focus on accretive growth. We remain dedicated to delivering long-term value through disciplined capital allocation and strategic execution.".

Sequans Board of Directors has approved a new ADS repurchase program authorizing the buyback of up to an additional 10% of the Company's outstanding ADSs. The timing and amount of repurchases under the new program will depend on market conditions, ADS price, and other factors, and will be executed in accordance with applicable regulations.

Forward Looking Statements

This press release contains certain statements that are, or may be deemed to be, forward-looking statements with respect to ADS repurchase plans, the financial condition, results of operations and business of Sequans, bitcoin treasury plans, financing requirements, and business strategy for the remainder of 2025 and beyond. These forward-looking statements include, but are not limited to, statements that are not historical fact. These forward-looking statements can be identified by the fact that they do not relate to historical or current facts. Forward-looking statements also often use words such as "anticipate," "committed to", "target," "continue," "estimate," "expect," "forecast," "intend," "may," "plan," "goal," "believe," "hope," "aims," "continue," "could," "project," "should," "will" or other words of similar meaning. These statements are based on assumptions and assessments made by Sequans in light of its experience and perception of historical trends, current conditions, future developments and other factors they believe appropriate. By their nature, forward-looking statements involve risk and uncertainty, because they relate to events and depend on circumstances that will occur in the future and the factors described in the context of such forward-looking statements in this announcement could cause actual results and developments to differ materially from those expressed in or implied by such forward-looking statements. Although it is believed that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to be correct, and you are therefore cautioned not to place undue reliance on these forward-looking statements which speak only as at the date of this announcement.

Forward-looking statements are not guarantees of future performance. Such forward-looking statements involve known and unknown risks and uncertainties that could significantly affect expected results and are based on certain key assumptions. Such risks and uncertainties include, but are not limited to, our ability to successfully implement our Bitcoin treasury strategy and potential adverse reactions or changes to business relationships resulting from the implementation of the Bitcoin treasury initiative. Many factors could cause actual results to differ materially from those projected or implied in any forward-looking statements. Among the factors that could cause actual results to differ materially from those described in the forward-looking statements are changes in the global, political, economic, business and competitive environments, market and regulatory forces, including tariffs and trade wars. If any one or more of these risks or uncertainties materialize or if any one or more of the assumptions prove incorrect, actual results may differ materially from those expected, estimated or projected. Such forward-looking statements should therefore be construed in the light of such factors. A more complete description of these and other material risks can be found in Sequans' filings with the SEC, including its annual report on Form 20-F for the year ended December 31, 2024, "Risk Related to Our Bitcoin Strategy and Holdings" filed on Form 6-K on July 17, 2025 and other documents that may be filed from time to time with the SEC. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date of this announcement. Sequans undertakes no obligation to update or revise any forward-looking statement as a result of new information, future events or otherwise, except as required by applicable law.

About Sequans

Sequans Communications S.A. (NYSE: SQNS) is a leading fabless semiconductor company specializing in wireless 4G/5G cellular technology for the Internet of Things (IoT) as well as a pioneer in Bitcoin Treasury. Sequans' engineers design and develop innovative, secure, and scalable technologies that power the next generation of AI-connected applications - including secured payment, smart mobility and logistics, smart cities, industrial, e-health, and smart homes. Sequans offers a comprehensive portfolio of 4G/5G solutions, including LTE-M/NB-IoT, 4G LTE Cat 1bis, and 5G NR RedCap/eRedCap platforms, all purpose-built for IoT and delivering breakthroughs in wireless connectivity, power efficiency, security, and performance. The company also provides advanced design services and technology licensing.

Founded in 2003, Sequans is headquartered in France and operates globally, with offices in the United States, United Kingdom, Switzerland, Israel, Finland, Taiwan, and China.

To learn more, please visit sequans.com

Contacts

Sequans investor relations:

David Hanover/Rob Kelly, KCSA Strategic Communications (USA),
+1.212.682.6300, ir@sequans.com

Sequans media relations:

Linda Bouvet (France), +33 170721600, media@sequans.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/278499

FAQ

How many ADS did Sequans repurchase as of December 17, 2025 (SQNS)?

Sequans repurchased 1,516,973 ADSs, representing about 9.7% of outstanding ADSs.

What was the average price paid per ADS in Sequans' completed buyback (SQNS)?

The company repurchased ADSs at an average price of $6.17 per ADS, including fees and commissions.

How did Sequans' repurchases affect Bitcoin-per-ADS yield (SQNS)?

The reduction in outstanding ADSs generated a 6.1% yield in Bitcoin per outstanding ADS (assuming warrant exercise).

What new buyback authorization did Sequans' Board approve (SQNS)?

The Board authorized a new ADS repurchase program to buy back up to an additional 10% of outstanding ADSs.

How were Sequans' completed ADS repurchases funded (SQNS)?

The repurchases were funded through proceeds from the company's recent Bitcoin dispositions.

Will Sequans immediately buy more ADSs under the new authorization (SQNS)?

Timing and amounts will depend on market conditions, ADS price, and other factors; repurchases will follow applicable regulations.