Japanese investment firm Metaplanet has raised 10 billion yen ($66 million) through the completion of its 11th series of stock acquisition rights.
The capital raise is part of the company’s strategy to strengthen its Bitcoin holdings, as Metaplanet adopted Bitcoin as a reserve asset earlier this year to hedge against volatility in the yen.
The stock acquisition rights were initially announced on August 6 when the company’s share price was around 700 yen.
Shareholders Purchase New Shares at Discounted Price
The move allowed shareholders to purchase new shares at a discounted rate of 555 yen per share.
The rights were issued at no charge to shareholders, with one right allocated per common stock held.
The exercise period, which ran from September 6 to October 15, saw 72.8% of the 18.1 million rights exercised, resulting in the issuance of 13.2 million new shares and raising 7.32 billion yen ($48.5 million).
Shareholders who chose not to exercise their rights transferred them at no charge to entities including MMXX Ventures Limited, CEO Simon Gerovich, and EVO Fund.
In a post on X, Gerovich said that the company has also approved the transfer of unexercised rights to EVO FUND, which has committed to exercising all transferred rights by October 22, 2024.
“Once completed, the total funds raised via the stock acquisition rights will reach 10 billion yen,” he wrote.
“We would like to thank all shareholders for their invaluable support and contribution, which strengthens Metaplanet’s mission of becoming a leading bitcoin treasury company.”
The capital raised from these transfers contributed an additional 5.7 billion yen ($37.8 million), bringing the total raise to 10 billion yen. Metaplanet now holds 861.4 BTC, according to Bitcoin Treasuries, and its stock has surged 642% year-to-date.
Metaplanet Teams Up with Hoseki to Verify Bitcoin Holdings
As reported, Metaplanet has partnered with Hoseki, a global leader in Bitcoin verification solutions, to allow users to verify the company’s Bitcoin holdings.
The firm said that the move is intended to enhance transparency and trust in its Bitcoin holdings through the use of Hoseki Verified.
“As Bitcoin adoption proliferates globally, the importance of transparency cannot be overstated,” the company said.
In April, Metaplanet revealed its decision to incorporate Bitcoin into its treasury assets due to several factors.
Firstly, it aims to minimize its exposure to the Japanese yen, which has been significantly impacted by Japan’s low-interest-rate environment.
In a shareholder update, Metaplanet expressed concern about the yen’s vulnerability and highlighted Bitcoin’s potential as a hedge against inflation, a tool for macroeconomic resilience, and a source of long-term capital appreciation.
The ongoing macroeconomic uncertainties, characterized by increasing inflationary pressures and geopolitical tensions, have prompted corporate treasurers to explore the inclusion of Bitcoin as a reserve asset.
Just recently, digital asset prime services platform Abra launched a service designed for corporates seeking to hold cryptocurrencies as reserve assets on their balance sheets.
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