SOLOWIN Completes $350 Million Acquisition of AlloyX, Fortifying Long-Term Vision with 12-Month Lock-Up
Rhea-AI Summary
SOLOWIN Holdings (NASDAQ: SWIN) has completed the $350 million acquisition of AlloyX Limited, a leading stablecoin infrastructure provider. The strategic transaction features a notable 12-month lock-up period for all AlloyX shareholders, including the founding team and strategic investors.
The deal includes performance-based incentives tied to enterprise valuation milestones, offering additional $5 million payments to Peter Lok, SOLOWIN's CEO, if AlloyX reaches $600 million and $1 billion valuations within 24 months of closing. The acquisition aims to leverage AlloyX's technology, including its enterprise-grade stablecoin platform, RWA tokenization, and global payment network, within SOLOWIN's licensed financial ecosystem.
The global stablecoin market has reached a $283 billion market cap as of August 2025, with year-to-date trading volume exceeding $20.2 trillion.
Positive
- Strategic acquisition of AlloyX for $350 million strengthens SOLOWIN's position in the stablecoin sector
- 12-month lock-up period ensures retention of key technical talent and strategic investors
- Performance-based incentives tied to significant valuation milestones ($600M and $1B)
- Integration of AlloyX's enterprise-grade technology and compliance infrastructure
- Expansion into high-growth markets including UAE, ASEAN, and Africa
Negative
- Significant capital expenditure of $350 million for the acquisition
- Additional potential payments of up to $10 million to CEO based on valuation milestones
- Integration risks associated with merging AlloyX's technology and team
News Market Reaction 106 Alerts
On the day this news was published, SWIN declined 37.91%, reflecting a significant negative market reaction. Argus tracked a peak move of +21.7% during that session. Argus tracked a trough of -50.8% from its starting point during tracking. Our momentum scanner triggered 106 alerts that day, indicating very high trading interest and price volatility. This price movement removed approximately $147M from the company's valuation, bringing the market cap to $241M at that time. Trading volume was exceptionally heavy at 19.1x the daily average, suggesting significant selling pressure.
Data tracked by StockTitan Argus on the day of publication.
HONG KONG, Sept. 03, 2025 (GLOBE NEWSWIRE) -- SOLOWIN HOLDINGS (NASDAQ: SWIN) (“Solowin” or the “Company”), a leading financial services firm providing comprehensive solutions across traditional and digital assets, today announced the official closing of its
According to Solowin, two key features of the acquisition structure highlight the long-term core value of the deal:
- 12-Month Lock-Up Commitment: All AlloyX's selling shareholders—including its core founding team and several prominent strategic investors—are subject to a 12-month lock-up period. This legally binding commitment ensures the retention of key technical talents and strategic investors aligning with Solowin’s long-term vision, both financially and strategically, demonstrating their strong confidence in the synergy and potential of the combined entity.
- Performance-and-Valuation-Driven Incentives: The transaction includes a tiered incentive structure tied to AlloyX’s enterprise valuation milestones. Pursuant to the terms of the share purchase agreement, if AlloyX reaches a
$600 million valuation within 24 months of closing, an additional$5 million payment will be made to Peter Lok, CEO of Solowin, and a former principal beneficial owner and sole director of AlloyX. A further$5 million will be payable to Mr. Lok when and if the valuation achieves the$1 billion milestone within 24 months of closing. This mechanism is not merely an incentive, but also the Company’s public roadmap for value enhancement.
Moreover, from an industry perspective, stablecoins are becoming the “key bridge” connecting traditional finance and the digital economy. The global stablecoin market cap has approached
Mr. Lok commented: “With the closing of this acquisition, Solowin’s vision for a new financial ecosystem centered on stablecoins is now taking shape. AlloyX’s core capabilities—including its enterprise-grade compliant stablecoin application platform, Real-World Asset (RWA) tokenization technology, and 7x24 global payment network—will be deeply integrated with Solowin’s network of financial service and compliance licenses to build a unified stablecoin financial ecosystem.”
He added, elaborating on the lock-up period, “The voluntary 12-month lock-up by all shareholders sends a clear message: the AlloyX team isn’t cashing out; they are doubling down on our shared long-term vision. We are fully committed to becoming an industry leader in the compliant stablecoin finance sector.”
About SOLOWIN HOLDINGS
SOLOWIN HOLDINGS (NASDAQ: SWIN) is a leading global financial services firm operating in both traditional and Web3 industry. Founded in 2016, it has established a unique, full-spectrum ecosystem that bridges traditional and decentralized finance. Leveraging its Hong Kong Securities and Futures Commission (SFC) licensed subsidiaries with full digital asset capabilities, the Company operates a robust Web3 Infrastructure division. Through its self-developed, vertically integrated, enterprise-grade platform, Solowin delivers compliant traditional finance (TradFi), real-world asset (RWA) tokenization, and global digital payment solutions—solidifying its role as a key player in reshaping global finance through a seamless Web3-to-TradFi ecosystem.
For more information, visit the Company’s website at https://solowin.io or investor relations webpage at https://ir.solowin.io.
Forward-Looking Statements
Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties 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. The Company has attempted to identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "potential," "continue" or other 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 that arise after the date hereof, except as may be required by law. These statements are subject to uncertainties and risks including, but not limited to, the uncertainties related to market conditions and other factors discussed in the Company's filings with the U.S. Securities and Exchange Commission (the “SEC”) including the "Risk Factors" section of the Company's most recent Annual Report on Form 20-F as well as in its other reports filed or furnished from time to time with the SEC. 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 filings with the SEC, which are available for review at www.sec.gov.
For investor and media inquiries please contact:
SOLOWIN HOLDINGS
Investor Relations Department
Email: ir@solomonwin.com.hk
Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: investors@ascent-ir.com
FAQ
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