Catenaa, Saturday, June 21, 2025-Tether Investments, the affiliated investment arm of stablecoin issuer Tether, has acquired an approximate 31.9% stake in Canadian precious metals royalty company Elemental Altus Royalties Corp., valuing the purchase at about $89.2 million.
The acquisition, completed via a private offshore agreement on June 10, grants Tether 78.4 million common shares at 1.55 Canadian dollars ($1.14) each.
Elemental operates through a royalty and streaming model, providing financing to mining companies in exchange for future revenue royalties or discounted metal purchases, thus avoiding direct operational mining risks.
This investment aligns with Tether’s strategy to diversify into long-term, stable assets like gold and bitcoin to strengthen its financial ecosystem.
Including 4.36 million shares already held, Tether’s total stake will reach roughly 33.7% of Elemental’s outstanding shares. The company’s CEO Frederick Bell welcomed Tether as a major shareholder, citing Tether’s significant financial resources and growing interest in the gold sector.
Additionally, Tether signed an option agreement to acquire an additional 34.4 million shares by late October, which would raise its ownership to 47.7%.
Tether CEO Paolo Ardoino said this move reflects their vision to build a resilient, transparent financial system backed by tangible assets. Tether currently holds over 100,000 bitcoins and nearly 80 tons of physical gold, with its Tether Gold token playing a central role in its risk strategy.
Tether indicated plans to explore further governance collaboration with Elemental, subject to regulatory approval.
