TruGolf Holdings, a Nasdaq-listed company, announced on October 9 the completion of its acquisition of Canadian company Polymath Research Inc. Polymath has been involved in the creation of security token categories and developed a layer-1 blockchain for regulated assets called Polymesh. Following the acquisition, Polymath will operate as a wholly-owned subsidiary, while TruGolf continues to retain its golf simulator and E6 platform.

The company has structured the merged entity into two revenue lines: existing golf simulation and software, plus institutional tokenization infrastructure. The announcement stated that banks, asset managers, and issuers are increasingly exploring blockchain applications for physical assets. As of December 31, 2025, Polymath has issued tokenized assets worth over $132 million for more than 65 active issuers, with over 50 ecosystem partners.

The two companies are already working on joint products. TruGolf Links and Polymath are developing an equipment leasing project, with funding raised through tokenized securities, and offering fractional franchise rights to qualified franchisees, targeting Q1 2027. The announcement did not disclose the issuance scale of these two projects, investor qualification details, or whether regulatory filings have been submitted.

The cash related to the transaction comes from warrant exercises. On October 7, TruGolf signed a third amendment, waiver, and exercise agreement, allowing holders to exercise 3,278 shares of Series B preferred stock, with a total par value of $3.278 million, resulting in a net gain of $2.95 million for the company. This preferred stock can be converted into Class A common stock under ownership and Nasdaq restrictions.

Personnel adjustments were also made. Natalie Hirsch, former CFO and interim CEO of Polymath, has been appointed CFO and COO of TruGolf. David Hackett has joined the board. The announcement was issued from Salt Lake City and did not disclose the acquisition price, equity dilution ratio, or whether Polymesh token holders will receive shares of the listed company.

This is not a secondary trading of tokens, but rather a listed company incorporating a tokenized business. The buyer is TruGolf shareholders holding Polymath through a wholly-owned subsidiary, while the seller is the original Polymath equity holders. The event is driven by the delivery announcement and the $2.95 million warrant cash. Beneficiaries include the tokenization team that has gained a Nasdaq-listed entity and the projects planning to issue equipment leasing and franchise fragments in Q1 2027; the pressured party is the shareholders who still value TRUG based on golf simulator revenue, as the new business's $132 million is the issuance stock as of the end of 2025, not confirmed revenue for TruGolf.

The net gain of $2.95 million comes from the preferred stock exercise, not from Polymath's operating cash flow. It is unclear whether the conversion reaches Nasdaq limits, as the announcement left restrictive clauses.

Source: Public Information