Forward stock jumps after Solana treasuries reject bids

Forward Inc. shares rose as much as 8.6% on Tuesday after several Solana digital-asset treasuries, including Solana Company, rejected unsolicited acquisition proposals from the firm.

Solana Company's board wrote that it “unanimously concluded that the Forward proposal substantially undervalues the Company” and determined the offer was not in the interests of the company or its stockholders. Forward had submitted non-binding proposals to buy Solana Company (HSDT), SkyAI, Inc. (SKYA) and Solmate (SLMT). The offers would have involved minting new FWDI shares for target shareholders at a one-for-one rate with a 10% to 30% premium.

Market responses were mixed. FWDI rose into the high single digits while Solana's token moved modestly lower. Solana Company's HSDT declined about 6%, SKYA rose roughly 2% and SLMT gained more than 11% as the firms exchanged public statements.

Solmate accused Forward of coordinating with a market maker and an individual as part of an undisclosed group in what it called a hostile takeover attempt. Forward denied acting in concert with outside parties and described the coordination allegations as baseless and aimed at blocking the transaction.

Forward reported a fully diluted mNAV of 1.01 and expects inclusion in the Russell 2000 and 3000 indexes later this month, which it says should increase passive buying and liquidity. The company pointed to cash-generating assets in its portfolio, including an investment in the OnRe reinsurance platform, and to low-interest loans secured by staked SOL through a partner lender.

Forward is the largest Solana treasury, holding just over seven million SOL tokens, most of which the company says are staked or deployed in decentralized finance applications. Company executives noted the next largest treasuries hold roughly two million tokens, a gap they say affects the cost structures of smaller firms. Forward's chief investment officer, Ryan Navi, added, “A lot of them are in trouble,” and said consolidation could reduce duplicate overhead.

Forward continues outreach to smaller treasuries while the targeted firms maintain their rejections and dispute Forward's intent.