Key CEPO Investor Group Sells $18.2M Stake Post-Bitcoin Merger Deal
Sale by 10% owner Harraden Circle raises questions as the SPAC prepares to combine with crypto firm BSTR Holdings, divesting 8.5% of the company's equity.
A group of key insiders at Cantor Equity Partners I, Inc. (NASDAQ: CEPO) has sold a substantial block of stock worth approximately $18.2 million, a move that is drawing scrutiny due to its timing. The sale, representing about 8.5% of the special purpose acquisition company's (SPAC) market capitalization, comes just months after CEPO announced a definitive merger agreement with Bitcoin treasury firm BSTR Holdings Inc.
The transactions were carried out by seven entities affiliated with Harraden Circle Investments, LLC, which is designated as a 10% owner of CEPO. According to recent filings with the Securities and Exchange Commission, one such sale occurred on November 6, 2025, involving 250,000 shares at a price of $10.425 each. This significant divestment by a major early-stage investor has raised questions among market participants about the pending transaction.
In July, CEPO announced its plan to merge with BSTR Holdings in a deal intended to create the world's fourth-largest publicly listed Bitcoin treasury. The agreement, which is expected to close in the fourth quarter of 2025, would see the combined entity list on Nasdaq under the ticker "BSTR" and launch with over 30,000 bitcoins. The transaction also includes plans for a PIPE (private investment in public equity) financing of up to $1.5 billion to acquire more Bitcoin and develop new capital market products.
The timing of the Harraden Circle sales is notable. The investment group acquired a significant stake of over 1.8 million shares in CEPO in March 2025, positioning itself as a key backer of the SPAC. For such a prominent investor to liquidate a large portion of its holdings after the announcement of a definitive merger—typically a de-risking and value-creating event for a SPAC—is unusual.
Shares of CEPO were trading at $10.43 in morning trading, putting the company’s market capitalization at approximately $214 million. SPACs are typically priced at $10 per share in their initial public offering, and they trade around that level until a merger target is announced or market sentiment shifts.
The sale could be interpreted in several ways. On one hand, it may represent a strategic move by Harraden Circle to lock in profits and de-risk its portfolio following the merger announcement. The SPAC market has been volatile, and securing gains after a definitive agreement is a common practice for some institutional investors.
On the other hand, a coordinated sale of this magnitude could signal a lack of confidence in the long-term prospects of the combined entity or potential concerns about the merger's completion. The crypto market is notoriously volatile, and the ambitious plan to build a major Bitcoin treasury carries both high potential rewards and significant risks. This insider selling introduces a new element of caution for investors evaluating the deal.
As CEPO and BSTR Holdings move toward the planned closing of their business combination, investors will be closely watching for any further insider transactions and regulatory updates. The divestment by Harraden Circle underscores the complexities and investor uncertainties that can emerge even after a promising SPAC merger has been announced.