Metaplanet said Monday it raised $255 million in a private placement and launched a new warrant structure to fund additional Bitcoin purchases.
Metaplanet raised about $255 million from institutional investors through a private placement of new shares, according to the company.
The private placement priced new shares at a 2% premium, paired with fixed-strike warrants at a 10% premium, which, if exercised, could add $276 million in additional capital as “firepower” toward the company’s goal of amassing 210,000 Bitcoin (BTC), according to CEO Simon Gerovich.
Metaplanet also issued a separate strike warrant offering on Monday, which may bring an additional $234 million of capital to fuel the accumulation strategy of the fourth-largest Bitcoin treasury company.
Metaplanet seeks $234 million via first-of-its-kind strike warrants
Metaplanet issued another 100 million in Moving Strike Warrants with what Gerovich called a first-of-its-kind Market Net Asset Value (mNAV) clause, which makes these exercisable only if the stock trades above 1.01x mNAV.
The offering enables the Bitcoin treasury company to raise another $234 million of capital for BTC purchases. The mNAV-tied clause aims to ensure that every newly issued share increases shareholder value, announced Gerovich earlier on Monday.
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Metaplanet’s mNAV stood at 1.11x on Monday, above the key 1.01x threshold, as the company held 35,102 BTC ($2.5 billion) and its stock price was $2.45, according to Metaplanet’s dashboard.
The mNAV ratio compares a company’s enterprise value to the value of its crypto holdings. An mNAV below 1 makes it more challenging for companies to raise funds by issuing new shares, which may limit their cryptocurrency purchases.
The new capital-raising mechanism is similar to the playbook used by Michael Saylor’s Strategy, the world’s largest corporate Bitcoin holder.
Strategy’s At-The-Market (ATM) common stock offering programs share similar mechanisms, allowing the company to raise capital by gradually issuing new common stock shares. Strategy only issues these shares when the mNAV is above 1x to avoid dilution.
In October 2024, Strategy disclosed plans to issue and sell shares of its class A common stock to raise up to $21 billion in equity and $21 billion in fixed-income securities over the next three years.
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