Metaplanet Inc. has announced a new bond issuance of ¥5.0 billion ($31.9 million) to enhance its Bitcoin acquisition strategy. The company aims to expedite its planned Bitcoin purchases, originally scheduled for 2025, to be completed by the end of 2024. The funds raised from this bond offering will be used to accelerate the buying process and integrate Bitcoin into the company's financial strategy as a hedge against economic uncertainty.
The bond issuance consists of units of ¥250 million each, with no interest and redeemable at face value. Each bond is valued at 100 yen per 100 yen principal amount, with an issuance date of December 20, 2024, and a maturity date of June 16, 2025. The entire offering will be allocated to EVO FUND, a private investment entity, and includes provisions for early redemption based on specific thresholds being met through the exercise of the company's stock acquisition rights.
This bond issuance follows a separate announcement made by Metaplanet on December 17, 2024, regarding another bond issuance of ¥4.5 billion ($28.7 million), also maturing on June 16, 2025. These efforts have enabled the company to raise a total of ¥9.5 billion ($60.6 million) within a short timeframe, which will significantly bolster its Bitcoin holdings.
As of December 20, 2024, Metaplanet's Bitcoin treasury holds 1,142 BTC, valued at approximately $109.6 million. The company has been actively increasing its Bitcoin acquisitions, including purchases of 23.351 BTC for about $1.6 million in June 2024 and 156.7 BTC valued at $10.4 million in October. This aggressive buying strategy reflects Metaplanet's focus on Bitcoin as a key asset in its portfolio.
Metaplanet has established a new business line dedicated to Bitcoin treasury operations, aiming to manage its cryptocurrency holdings through various financial instruments. This specialized unit will streamline operations and enhance the company's ability to navigate the cryptocurrency market.
Metaplanet's stock has experienced significant growth, with shares trading at ¥3,575, reflecting a 58.05% increase over the past month and a 2,134.38% rise year-to-date. This surge in stock value demonstrates investor confidence in the company's strategic direction and its commitment to leveraging Bitcoin as a financial asset.
Metaplanet's proactive approach to Bitcoin acquisition and treasury management aligns with the growing trend among traditional financial institutions to embrace digital assets. With its recent bond issuances and strategic investments, the company is well-positioned to capitalize on opportunities in the cryptocurrency market, solidifying its position as a forward-thinking investment firm.