News Focus
News Focus
icon url

greatnessawaits

02/11/25 8:51 AM

#1255 RE: Nelson2 #1254

Email sent this morning. Short term pain, long term gain imo.



Dear Victory Square Shareholders,

I want to take a moment to personally connect with you regarding today’s announcement from our portfolio company, Hydreight Technologies (NURS). Market reactions can vary, but I’d like to provide context on this financing and its significance for both Hydreight and Victory Square Technologies (VST) shareholders.

This morning, Hydreight announced a $4 million financing at $1.55 per share, bringing in institutional investors and strengthening its financial position. Beyond the capital raised, this financing reflects institutional confidence, reinforces Hydreight’s market position, and supports its long-term objectives.

Key Takeaways:

✅ Enhanced Financial Stability – The capital supports Hydreight’s ability to pursue strategic initiatives, including M&A, key hires, and marketing efforts.

✅ Institutional Backing – This financing brings in institutional investors, a meaningful development for liquidity, credibility, and long-term market confidence.

✅ Positioning for Future Milestones – A stronger balance sheet and institutional support provide Hydreight with resources to continue executing its strategy, including exploring potential uplisting opportunities.

✅ VST’s Position Remains Strong – VST continues to hold a significant stake in Hydreight, with board representation and strategic involvement.

Impact on VST Shareholders:

VST’s ownership in Hydreight remains a key part of our overall portfolio value:

🔹 At the $1.55 financing price, VST’s stake in Hydreight is valued at approximately $40 million.

🔹 This equates to ~$0.41 per VST share based on Hydreight alone.

🔹 Including our other public holdings (CTRL, VRAI, SUN, Covalent, etc.), the total valuation is ~$0.49 per VST share.

🔹 Factoring in our private holdings, strategic assets, and IP, the total implied valuation reaches ~$1.06 per share.

While market sentiment can be unpredictable in the short term, the underlying fundamentals remain unchanged. Just four months ago, VST was trading at $0.09 and Hydreight at $0.30—today, institutional investors are financing Hydreight at $1.55 per share, a strong indicator of the value being recognized.

Staying Engaged

I appreciate your continued support and engagement. For those who would like to discuss further, I encourage you to join our Discord channel or reach out with any questions.

Thank you for being part of this journey.

Best,

Shafin Diamond Tejani

CEO, Victory Square Technologies