Tokenization platform Securitize is on track to raise approximately $400 million in gross proceeds as it prepares to go public via a merger with Cantor Equity Partners II (CEPT), a special purpose acquisition company backed by Cantor Fitzgerald. The company announced on Friday that less than 30% of CEPT shareholders elected to redeem their shares, a sign of strong market confidence in the deal.
Low redemptions signal investor appetite for tokenization
The final redemption rate of under 30% is notably low for a SPAC merger, where high redemption rates can threaten the capital raise. Securitize said it expects to receive around $400 million from the merger, including related private investment in public equity (PIPE) financings, before expenses. Shares of CEPT rose 7% on Friday to close at $10.86, with after-hours trading pushing the stock to $11.
The merger is expected to close on Wednesday, July 1, pending shareholder approval on Monday and other customary conditions. The combined company will begin trading on the New York Stock Exchange under the ticker SECZ on Thursday, July 2.
Securitize and the rise of real-world asset tokenization
Securitize has carved out a leading position in the tokenization sector, where traditional assets such as stocks, bonds, and real estate are represented on blockchain networks. The company is backed by major institutional players including BlackRock, Morgan Stanley, Coinbase, and Circle. In March, it partnered with the New York Stock Exchange to develop tokenized assets for the exchange’s upcoming digital securities platform.
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Standard Chartered recently projected that the value of tokenized assets active in decentralized finance could grow 37-fold to $2.7 trillion by the end of 2030. The U.S. Securities and Exchange Commission was reportedly preparing to allow trading of tokenized stocks in mid-May, though the plan was delayed after stock exchange officials raised implementation concerns.
What this means for the market
The successful debut of Securitize on the NYSE would mark a significant milestone for the tokenization industry, providing a publicly traded vehicle for investors seeking exposure to the sector. CEO Carlos Domingo noted that when the company started eight years ago, institutional adoption of tokenized securities was largely theoretical, but it is now moving into the mainstream.
The $400 million war chest will likely fuel further expansion, partnerships, and product development as Securitize competes in a rapidly evolving space that bridges traditional finance and blockchain technology.
Conclusion
Securitize’s upcoming public listing, backed by strong institutional support and low SPAC redemptions, underscores the growing legitimacy of asset tokenization. With the NYSE listing set for early July, all eyes will be on SECZ’s trading debut as a bellwether for the broader tokenization market.
FAQs
Q1: What is Securitize and what does it do?
Securitize is a platform that tokenizes real-world assets, such as stocks, bonds, and real estate, by representing them on blockchain networks. It enables faster, more efficient trading and settlement of these assets.
Q2: How will Securitize go public?
Securitize is merging with Cantor Equity Partners II (CEPT), a special purpose acquisition company (SPAC) backed by Cantor Fitzgerald. After the merger, the combined company will trade on the NYSE under the ticker SECZ.
Q3: Why is the $400 million raise significant?
The $400 million in expected gross proceeds, with low shareholder redemptions, signals strong investor confidence in Securitize’s business model and the broader tokenization sector. It provides substantial capital for growth and expansion.
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