Metaplanet aims to raise $62m from Stock Acquisition Rights to buy more Bitcoin

Metaplanet is looking to raise $62 million for its EVO Fund from upcoming share purchase rights. The firm will use the funds to purchase more Bitcoin for treasury management.

The Japanese investment company announced in a press release dated November 28 that it plans to grant its 12th Share Purchase Rights to EVO FUND, an investment management company in the Cayman Islands, through a third-party allocation, effective December 16, 2024.

Metaplanet will release a total of 29,000 copies. Each unit entitles EVO FUND to purchase 100 common shares. Each subscription right costs 614 yen, making the total issue price 17,806,000 yen.

If EVO FUND decides to purchase all units offered by Metaplanet, it will purchase 2,900,000 common shares with a lower exercise price limit of 1,500 yen. Therefore, Metaplanet will gain more than 9.5 billion yen ($62 million) from the 12th Share Purchase Rights sale to EVO FUND.

However, the company also noted that the transaction is subject to approval by Japan’s Financial Instruments and Exchange Act.

The Japanese investment firm announced that it will use the majority of the funds raised to purchase more Bitcoin (BTC) to focus on “expanding our Bitcoin position” in line with the company’s strategic corporate treasury strategy.

“We prioritize a Bitcoin first, Bitcoin only approach in treasury management. “We have made clear that we plan to leverage debt and periodic equity issuance to systematically increase our Bitcoin holdings and reduce exposure to the depreciating yen,” the company said in its press release.

In October, Metaplanet completed its 11th share purchase rights. The company raised a total of 10 billion yen ($66 million) and devoted most of this fund to purchasing Bitcoin.

Metaplanet, often referred to as the “MicroStrategy of Asia” by market advocates, has amassed the largest Bitcoin stash in Japan with 1,142 BTC worth $109.36 million at current market prices.

Recently, Metaplanet announced that it has been added to the Amplify Transformational Data Sharing ETF, or BLOK, a global index that invests in leading blockchain companies such as SBI Holding, MicroStrategy, and Nvidia.

Metaplanet CEO Simon Gerovich stated that Metaplanet’s inclusion in the ETF signifies the firm’s leadership as “Japan’s leading Bitcoin Treasury Company.”