BNB Plus, the biotech company that pairs a BNB treasury strategy with its LineaRx business, has agreed to pay $1 million in cash and issue 200,000 preferred shares to end its digital-asset management agreements with Cypress LLC and related parties. The settlement, disclosed in a July 29 filing, severs ties with the firm that had discretionary authority over BNB Plus's crypto accounts and wallets. The news comes just weeks after Nasdaq suspended trading of BNBX stock on July 14, following a Hearings Panel decision to delist the shares for failing the $1 minimum-bid requirement.
The Cypress settlement
Under the deal, BNB Plus will pay $500,000 upfront and the remaining $500,000 in 12 equal monthly installments. It will also issue 200,000 Series B-1 preferred shares with an initial liquidation preference and conversion price of $1.05 per share, an 8% annual dividend, and a liquidation formula tied to accumulated preference and unpaid dividends. In exchange, Cypress accepted a standstill through September 29, 2030, and the agreements being terminated include a digital-asset management agreement with Cypress LLC, a strategic-adviser agreement with Cypress Management LLC, and a consulting agreement with Patrick Horsman.
The settlement also rescinds 695,322 Series E-1 advisory warrants and modifies 1,291,312 warrants, covering nearly 2 million warrants in total. The Series B-1 certificate gives majority holders consent rights over material treasury transfers, custody-related liens, and treasury-subsidiary actions, but does not identify an operating investment manager.
From Nasdaq to OTCQB
Nasdaq suspended trading of BNBX on July 14 after a Hearings Panel decided to delist the shares for failing the $1 minimum-bid requirement. BNB Plus planned to seek Listing Council review of the delisting, but the suspension was not stayed. As of July 30, the company's investor-relations page displayed OTCQB (BNBX) as the trading venue.
Who's in charge?
No replacement has been named for departed chief investment officer Patrick Horsman, and no successor asset manager has been identified. Chairman and director Joshua Kruger will resign effective July 31, and his departure was not due to a disagreement. That leaves the company without a clear point person for its crypto strategy.
Where's the crypto?
As of March 31, BNB Plus reported holding 2,186 BNB through subsidiaries, a receivable for 6,077 BNB transferred to Hex Trust under rehypothecation arrangements, and 435,638 OBNB trust units. But the July 29 filing did not update the quantities of BNB holdings or provide a complete current custody map. With the Cypress relationship ended and no new asset manager in place, the question of who controls the company's digital assets remains open.
