Metaplanet Is Raising $68 Million, Says Most of It Will Be Used to Buy More Bitcoin
The post Metaplanet Is Raising $68 Million, Says Most of It Will Be Used to Buy More Bitcoin appeared on BitcoinEthereumNews.com.
Japanese venture firm Metaplanet is looking to raise roughly $68 million (¥10 billion) through a gratis stock allotment. And the company has already disclosed that $59 million worth of the funds will be used to add to its Bitcoin treasury. “A substantial majority of these funds, around ¥8.5 billion, will be used to purchase Bitcoin,” Dylan LeClair, the company’s Director of Bitcoin Strategy, said on Twitter. “This allocation aims to leverage Bitcoin’s potential for long-term appreciation and its ability to hedge against yen depreciation.” .@Metaplanet_JP has resolved to conduct a Gratis Allotment of the Stock Acquisition Rights (unlisted) to raise up to ¥10.08 billion to acquire additional $BTC. Each common shareholder as of September 5, 2024, will receive one stock acquisition right per share held, free of… https://t.co/nYQsxYOWQU — Dylan LeClair 🟠 (@DylanLeClair_) August 6, 2024 The company, which calls itself the “Japanese MicroStrategy,” has already managed to stockpile 245.992 Bitcoin as of July 22, when it said that it had completed its 2024 goal of investing a total of $6.8 million (¥1 billion) into BTC. It first revealed its plan to invest in a Bitcoin treasury in April this year. “By acquiring and holding Bitcoin as a reserve asset, the company aims to position itself as the leading publicly listed Bitcoin holding company in Japan,” LeClair added. But how does a so-called “gratis” offering help the company raise money? The “gratis” part of the name is a bit of a misnomer. Metaplanet, whose shares trade on the Tokyo Stock Exchange under the 3350 ticker, will charge shareholders a flat rate of $3.77 (¥555) per share that they redeem through the allotment. That offer will be extended to the holders of at least 18,166,930 shares—which excludes 2,288 shares that the company has in its treasury. But because the redemption period…
Filed under: News - @ August 9, 2024 2:22 am