Metaplanet Plans to Raise $137M Via Stock Offering to Buy More Bitcoin

Bitcoin treasury firm Metaplanet on Thursday said it plans to raise almost $137 million through stock offering and warrants to purchase more Bitcoin. Asia’s MicroStrategy is yet to make its first BTC buy this year to reach the 100,000 BTC target by year-end.

Metaplanet to Raise $137 Million with Stock Offering

Japan-based Metaplanet’s board of directors has approved a new stock offering and the 25th series stock acquisition rights, according to an official announcement on January 29.

The Bitcoin treasury company intends to issue 24,529,000 common shares at JPY 499 per share and 15,944,000 ordinary shares to raise JPY 21 billion ($137 million). The company intends to use the proceeds primarily to acquire additional Bitcoin to expand its holdings.
“The 65% warrant coverage exercisable at ¥547 for 1-year are fixed strike (not MS warrants), said Dylan LeClair, Head of Bitcoin Strategy at Metaplanet. “The financing structure enables Metaplanet to capitalize on common stock volatility to sell shares at a premium to market while raising capital today,” he added.

The move aligns with Metaplanet’s broader ambition to reach 100,000 BTC target by 2026-end. Metaplanet currently holds 35,102 BTC worth over $3.08 billion at the current market price.

Metaplanet earlier raised millions via MERCURY Class B perpetual share offering. It claimed to use funds raised for Bitcoin purchases, debt management, and income-generating businesses.

Metaplanet stock (TYO: 3350) price closed 4% lower at JPY 456. The intraday low and high were JPY 456 and 477, respectively. Moreover, the 24-hour trading volume remains below the average volume of almost 27 million.

Bitcoin Price Slips Below $88K

Bitcoin price fell more than 2% over the past 24 hours amid broader crypto market selloffs, currently trading at $87,776. The 24-hour low and high were $87,612 and $90,439, respectively. Trading volume increased by 13% in the last 24 hours as traders look for cues after the Fed kept the interest rate unchanged.

Metaplanet has recorded an impairment loss of $679 million due to BTC volatility. The stock has even tumbled more than 10% in the past few days, but is still up 14% YTD.

The total open interest of Bitcoin futures contracts across all crypto exchanges dropped 2.40% to $59 billion over the past 24 hours. The 24-hour BTC futures open interest tanked 8.41% on CME and 0.92% on Binance.