Ripple Raises $275M to Expand U.S. Prime Brokerage

Ripple raised $275 million in a private placement of senior unsecured notes issued by its non-bank prime brokerage, Ripple Prime, to fund expansion of its U.S. financial services business. The offering closed on Tuesday, the company announced.

The notes were issued by Ripple Prime and attracted a diverse group of institutional investors from financial markets. Ripple said the proceeds will be used to scale its institutional services in the United States, including prime brokerage, financing and multi-asset clearing.

Noel Kimmel, president of Ripple Prime, described investor support as “confidence in our long-term vision for the growing intersection of traditional and digital asset financial infrastructure.” The notes are intended to back Ripple Prime’s lending, custody and clearing activities for institutional clients. Ripple Prime was formed after Ripple’s acquisition of Hidden Road.

Earlier this year, Ripple secured a $200 million credit facility from funds managed by Neuberger Berman to expand the lending capacity of its prime brokerage. In July, the company launched Ripple Mint, a platform that lets institutions access, mint, redeem and manage its U.S. dollar-pegged stablecoin, Ripple USD (RLUSD). At last check, RLUSD had a market capitalization of about $1.76 billion.

Ripple acquired Hidden Road last year in a deal valued at roughly $1.25 billion. The acquisition provided the infrastructure and licenses Ripple used to roll out its institutional prime brokerage business, later rebranded as Ripple Prime.

The company presented the note offering as a way to deepen its institutional footprint in the U.S. and to provide capital for product and service expansion. Ripple stated the financing will support client-facing operations and back-office functions tied to trading and settlement.