Metaplanet Inc., a Japanese investment firm, intends to raise ¥5.0 billion ($31.9 million) through the issuance of ordinary bonds to accelerate its Bitcoin purchases. The company announced this plan in a post dated December 20, stating that the repayment would come from exercising their 12th series stock acquisition rights.
The bonds are classified as the 5th Series Ordinary Bonds, with each unit priced at ¥250 million. These non-interest-bearing bonds have a face value of 100 yen per 100 yen principal amount and will mature on June 16, 2025. The scheduled issuance date is December 20, 2024. EVO FUND, a private investment entity, will receive the entire security allocation, which falls under redemption provisions.
Early redemption can occur if EVO FUND provides written notice at least one business day in advance or if funds from the exercise of Tokyo-listed firm’s 12th series stock acquisition rights reach a specified threshold. This move comes after another ¥4.5 billion ($28.7 million) bond issuance announced by Metaplanet on December 17, 2024, which will also mature on June 16, 2025.
Together, these two bond issuances raise a total of ¥9.5 billion ($60.6 million) within just a few days. Metaplanet’s Bitcoin-focused approach stems from their strategy to hedge against economic instability using the cryptocurrency. As of December 20, 2024, they hold 203.7 BTC, which includes recent purchases like 57.273 BTC for $3.4 million and 106.976 BTC worth $6.6 million in October and 156.7 BTC valued at $10.4 million in the same month.
To further support their Bitcoin endeavors, Metaplanet established a new Bitcoin treasury operations business line in late 2024. This division will manage the cryptocurrency through various financial instruments like loans, equity issuances, and convertible bonds. As of now, the firm holds approximately $109.6 million worth of Bitcoin.
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