Metaplanet's holdings exceed 20,000 BTC! Shareholders approve $2.8 billion plan
If Metaplanet achieves its goal of "holding 210,000 BTC in its treasury," it will join Strategy as one of the companies holding at least 1% of the bitcoin supply.
If Metaplanet achieves its goal of "holding 210,000 BTC in treasury," it will join Strategy in the ranks of companies "holding at least 1% of the Bitcoin supply."
Source: cryptoslate
Translation: Blockchain Knight
After shareholders approved an ambitious plan to increase its treasury holdings by $2.8 billions worth of Bitcoin by 2027, Metaplanet acquired 1,009 BTC at a price of approximately $112 million, bringing the Japanese company's total Bitcoin holdings to 20,000 BTC.
The Tokyo-listed company announced the acquisition on September 1, with an average purchase price of 16.3 million yen (about $110,720) per Bitcoin. This capital expansion strategy was approved by vote at Metaplanet's extraordinary shareholders' meeting.
This acquisition pushed Metaplanet's Bitcoin treasury market value past $2.1 billions, consolidating its position as the "largest corporate Bitcoin holder in Asia." In addition, the company surpassed Riot Platforms to become the sixth largest Bitcoin holder globally.
At the shareholders' meeting, CEO Simon Gerovich outlined the company's plan to acquire 210,000 BTC by 2027, an amount that represents about 1% of the total Bitcoin supply.
The strategy includes issuing up to 555 million preferred shares, expected to raise 555 billion yen (about $3.8 billions), with the funds dedicated exclusively to Bitcoin acquisitions.
Eric Trump attended the meeting as a strategic advisor to Metaplanet and participated in a fireside chat with Gerovich. Trump praised Gerovich's leadership, calling him "one of the most honest people I have ever met," and stated that "strong leadership combined with Bitcoin is a winning combination."
Subsequently, Gerovich asked the more than 3,000 attendees whether they agreed to amend the company's articles of association to allow the issuance of preferred shares, and the attendees unanimously agreed.
The approved preferred share plan includes two types of perpetual equity issuance. Class A shares will offer a 5% yield, aiming to compete with traditional fixed-income products.
Meanwhile, Class B shares carry higher risk but include the option to convert into common shares.
Gerovich emphasized Japan's unique advantage in the field of "Bitcoin-backed financing," noting that Japan, as the G7 country with the lowest interest rates, has this as "our hidden superpower."
The upper limit for the preferred share issuance is set at 25% of the company's "Bitcoin net asset value."
The announcement of this acquisition coincided with Metaplanet's release of its second-quarter results, with profits reaching 11.1 billion yen (about $75.1 million), a 41% quarter-on-quarter increase.
The company's Bitcoin yield business (mainly through the sale of put options) contributed 1.9 billion yen (about $12.9 million) in sales revenue this quarter.
Recently, in the FTSE Russell September review, Metaplanet was upgraded to a mid-cap stock and successfully included in both the FTSE Japan Index and the FTSE Global Index.
If Metaplanet achieves its goal of "holding 210,000 BTC in treasury," it will join Strategy in the ranks of companies "holding at least 1% of the Bitcoin supply."
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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