Avalanche Treasury Co. (AVAT) has announced a significant $675 million business combination with Mountain Lake Acquisition Corp. (MLAC), a special purpose acquisition company (SPAC). If approved, the deal will create what is expected to be the largest publicly traded vehicle for gaining exposure to the AVAX token and the Avalanche ecosystem.
Key Deal Details and Treasury Goals
- Valuation & Timeline: The transaction is valued at $675 million and includes approximately $460 million in treasury assets. AVAT plans to list on Nasdaq in the first quarter of 2026.
- Exclusive Partnership: AVAT will have an exclusive relationship with the Avalanche Foundation. At launch, it will immediately purchase $200 million worth of AVAX tokens at a discount. It also secures an 18-month priority to purchase additional tokens from the Foundation.
- Target: The company's goal is to build a $1 billion treasury, cementing its position as a cornerstone investor in the Avalanche ecosystem.
Attractive Investor Entry and Strategic Backing
- Discounted Entry: AVAT offers investors an entry point at 0.77 times net asset value, translating to a 23% discount compared to buying AVAX directly.
- Active Investment Strategy: Unlike passive funds, AVAT will actively deploy funds into key projects on Avalanche, including validator infrastructure, enterprise partnerships, and real-world asset (RWA) tokenization. This approach aims to tie the company's success directly to Avalanche's long-term growth and adoption.
- High-Profile Backing: The combined company has strong support, with the board featuring Avalanche founder Emin Gün Sirer as a strategic advisor and Ava Labs executive John Nahas as a director. Institutional heavyweights such as VanEck, Galaxy Digital, Pantera, and ParaFi Capital are backing the deal.
The transaction is positioned to accelerate institutional adoption of AVAX by offering a discounted, publicly tradable investment vehicle that is actively dedicated to ecosystem growth.
October 2025, Cryptoniteuae