Sequans Communications Announces Update of ADS Repurchase Program

Rhea-AI Summary

Sequans Communications (NYSE: SQNS) announced on November 19, 2025 that as of November 18 it repurchased 755,349 ADSs, roughly 5% of outstanding ADSs and about half of a board authorization to buy up to 1.57 million ADSs. Repurchases averaged $6.40 per ADS including fees. Sequans says repurchases were funded by proceeds from a prior bitcoin sale and operating cash flow and delivered a 4.4% increase in bitcoin per ADS (assuming exercise of pre-funded warrants) since the Nov 4, 2025 earnings call.

Management reiterated its strategy to grow bitcoin per share through accretive repurchases and reduce debt while executing its Bitcoin treasury and IoT business plans.

Positive

• 755,349 ADS repurchased as of Nov 18, 2025
• Repurchases represent ~5% of outstanding ADSs
• Average repurchase price $6.40 per ADS including fees
• 4.4% increase in bitcoin per ADS since Nov 4, 2025

Negative

• Repurchases funded by a sale of bitcoin, reducing crypto holdings
• Outstanding ADSs remain ~15.2M or 16.3M with warrants (dilution risk)
• Company notes continued digital asset market pressure

Insights

Capital Allocation Analyst

Sequans repurchased 755,349 ADSs (~5%) at an average of $6.40, reducing float and increasing Bitcoin per ADS.

The company used proceeds from a prior bitcoin sale and funds from operations to repurchase half of a 1.57 million ADS authorization, lowering outstanding ADSs to ~15.2 million (or ~16.3 million including pre‑funded warrants). By shrinking the share count, management reports a 4.4% increase in Bitcoin per ADS since the Nov 4, 2025 earnings call; this is a straightforward capital‑allocation move that converts balance‑sheet resources into higher crypto exposure per remaining share.

The near‑term benefits depend on the realized NAV per ADS and the stability of the company’s Bitcoin holdings; repurchases funded by crypto sales shift asset mix and expose results to realized sale prices and timing. Key items to watch are the remaining share authorization (about half unused), any future disclosure of NAV per ADS or mNAV metrics, and updates to the Bitcoin treasury execution and debt reduction plans over the next several quarters, notably through Q1 2026 and fiscal 2026 disclosures.

Paris, France--(Newsfile Corp. - November 19, 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 that as of November 18, 2025 it had purchased 755,349 of its American Depositary Shares ("ADSs"), representing approximately 5% of outstanding ADSs and half of the previously announced board authorization to repurchase up to 1.57 million ADSs.

The repurchases were completed at an average price of $6.40 per ADS, including fees and commissions. Following these repurchases, the current number of ADS outstanding is approximately 15.2 million (or 16.3 million, including the potential exercise of pre-funded warrants). The reduction in the number of outstanding ADSs generated a 4.4% yield in Bitcoin per outstanding ADS (assuming exercise of pre-funded warrants) since the Company's November 4, 2025 earnings call, demonstrating its disciplined approach to capital allocation.

ADS repurchases have been funded by proceeds from the previously announced sale of bitcoin and from funds from operations. Management remains committed to increasing bitcoin per share through accretive ADS repurchases at prices below NAV per ADS to continue to generate value for shareholders.

"Although the digital asset market has experienced recent pressure, we view this environment as an opportunity to strengthen our balance sheet and advance the next phase of our Bitcoin Treasury strategy," stated Dr. Georges Karam, CEO of Sequans. "By reducing our debt and executing share repurchases when mNAV is below one, we are increasing Bitcoin per share and reinforcing our commitment to disciplined, accretive growth. We remain focused on continuing to deliver value to shareholders through additional repurchases and the ongoing execution of our Bitcoin treasury and IoT business strategies."

Forward-Looking Statements

This press release contains certain statements that are, or may be deemed to be, forward-looking statements with respect to the financial condition, results of operations and business of Sequans, bitcoin treasury plans, financing requirements, ADS repurchase plans 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 Communications

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 views Bitcoin as a long-term investment and intends to strategically accumulate it as its primary treasury reserve asset. The company's approach involves acquiring and holding Bitcoin using net proceeds from equity and debt issuances - executed from time to time based on market conditions - as well as cash generated from operations and intellectual property monetization.

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. Sequans management believes the combination of a strategic Bitcoin reserve and deep focus on semiconductor innovation positions the company for long-term value creation.

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.

Visit Sequans at sequans.com and follow us on LinkedIn and X.

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/275153

FAQ

How many ADSs did Sequans (SQNS) repurchase as of November 18, 2025?

Sequans repurchased 755,349 ADSs as of November 18, 2025.

What was the average price paid per ADS in Sequans' November 2025 repurchase?

The company paid an average of $6.40 per ADS, including fees and commissions.

What percentage of outstanding ADSs did SQNS repurchases represent in November 2025?

The repurchases represented approximately 5% of outstanding ADSs and about half of the 1.57M authorized.

How did Sequans fund the November 2025 ADS repurchases (SQNS)?

Repurchases were funded by proceeds from a prior sale of bitcoin and by funds from operations.

Did the buyback change Sequans' bitcoin per ADS metric?

Yes; Sequans reported a 4.4% increase in bitcoin per ADS since its Nov 4, 2025 earnings call (assuming warrant exercise).

How many ADSs remain outstanding for SQNS after the repurchase and what is the warrant impact?

ADS outstanding are about 15.2 million, or 16.3 million if pre-funded warrants are exercised.