ERShares Announces XOVR Shareholder Protection Plan Ahead of the SpaceX IPO

XOVR ETF long-term shareholders have already benefited from approximately $50 million in unrealized appreciation reflected in the Fund's net asset value from SpaceX exposure.

Key Highlights

• XOVR long-term shareholders have already benefited from approximately $50 million in unrealized appreciation reflected in the Fund's net asset value from SpaceX exposure.
• ERShares is implementing a shareholder protection plan ahead of the SpaceX IPO to help reduce potentially disruptive short-term trading activity. For investor questions, please see the XOVR FAQ page and prospectus supplement.
• The Fund expects to use tools described in the fund's prospectus to mitigate potential adverse harm to the fund. These tools include the ability to reject certain Creation Units where acceptance may have an adverse effect on the Fund or on the rights of the Fund's beneficial owners, which has already gone into effect.
• Beginning on the day of the SpaceX IPO, a variable redemption/transaction fee, payable to the Fund, of up to a maximum of 2% may be imposed on redemptions.
• The creation and redemption processes apply to shareholders who purchase or redeem Creation Units and do not directly apply to shareholders who purchase or sell Shares in the Secondary Market. However, the impact of these processes may lead to discounts on secondary market trading compared to the NAV of the fund or other significant price impacts on secondary trades of the fund shares, beginning on the day of the SpaceX IPO.
• XOVR was the first ETF to pioneer the private-public crossover structure, combining publicly traded growth equities with select private-company exposure inside a single ETF.
• XOVR applies ERShares' VC Lens with a long-term horizon. SpaceX is a long-term conviction holding for the Fund and is accessed indirectly through a special purpose vehicle.

NEW YORK, June 5, 2026 /PRNewswire/ -- ERShares today announced that the ERShares Private-Public Crossover ETF, ticker XOVR, has instituted a shareholder protection plan ahead of the SpaceX IPO. The plan is designed to help protect long-term shareholders and retail investors from disruptive short-term trading activity that could create costs, liquidity pressure, or potential dilution of value created through the Fund's SpaceX exposure.

XOVR's SpaceX position has recently contributed approximately $50 million in unrealized appreciation reflected in the Fund's net asset value for shareholders. ERShares said the shareholder protection plan is intended to help preserve that value for long-term investors who participated in the Fund's private-public crossover strategy before the IPO event.

 "We invest with a long-term horizon, applying a VC Lens similar to how venture capital investors evaluate category-defining companies before broader public-market recognition. SpaceX is a long-term conviction holding for XOVR, and as the IPO approaches, our priority is simple: protect long-term shareholders from short-term flows that may create unnecessary costs or potential dilution," said Joel Shulman, CEO and Chief Investment Officer of ERShares.

XOVR was the first ETF to pioneer the private-public crossover structure, combining publicly traded growth equities with select private-company exposure inside a single ETF. The Fund applies ERShares' VC Lens investment framework and is built for long-term exposure to category-defining innovation companies across public and private markets. XOVR's SpaceX exposure is obtained indirectly through a special purpose vehicle, and ERShares views SpaceX as a long-term conviction holding.

Other ETFs holding pre-IPO securities have experienced significant subscriptions and redemptions in the days before and after high-profile IPOs. Such activity can create transaction costs, liquidity pressure, and potential dilution for existing shareholders, particularly when a fund holds private or less liquid positions.

To address these risks, XOVR expects to implement measures consistent with the Fund's prospectus and June 4, 2026 prospectus supplement. Beginning immediately and continuing until the day of the SpaceX IPO, the Fund or its distributor expects to exercise its right to reject certain large creation orders where acceptance may have an adverse effect on the Fund or on the rights of the Fund's beneficial owners.

Beginning on the day of the SpaceX IPO, a variable redemption/transaction fee, payable to the Fund, of up to a maximum of 2% of the value of the Creation Units subject to the transaction may be imposed on redemptions. Note: the impact of these processes may lead to discounts on secondary market trading compared to the NAV of the fund or other significant price impacts on secondary trades of the fund shares, beginning on the day of the SpaceX IPO.

"Retail investors should not be disadvantaged by large, short-term trading flows around a major IPO event," added Shulman. "These actions are intended to help protect shareholders, support fair treatment, and preserve value created through XOVR's long-term exposure to private and public innovation leaders."

For more information about XOVR, including holdings, risks, fees, and disclosures, please visit entrepreneurshares.com.

About ERShares

ERShares is an asset management firm focused on innovation, growth, and private-public market investing. The firm applies a VC Lens investment framework to identify companies with category leadership, scalable growth potential, and long-term value creation opportunities across public and private markets.

Important Disclosures

Investors should carefully consider the Fund's investment objectives, risks, charges, and expenses before investing. This and other information can be found in the Fund's prospectus, which should be read carefully before investing. Additional disclosures are available at https://entrepreneurshares.com/disclosures/

SOURCE ERShares