Market Times:

London:

New York:

Singapore:

Loading cryptocurrency data...

Metaplanet Stock Soars 16% Following $1.4B Fundraising Plan

Metaplanet plans to purchase approximately 12,500 BTC with its $1.4 billion proceeds.

Metaplanet

Asia’s leading bitcoin investment firm, Metaplanet, has revealed plans to raise $1.4 billion for more bitcoin purchases. Its founder, Simon Gerovich, made this public via an X social media post. Following the announcement, the company’s stock has seen an over 16% surge in value as pro-crypto investors scoop shares of the Japanese stock.

Stock’s Price Jumps Over 16%

According to data from Google Finance, Metaplanet’s stock closed at ¥614 ($4.16) per share on Tuesday. A few hours into Wednesday, the firm’s stock experienced a massive 16.29% increase, jumping in value by ¥100 to trade at ¥714 ($4.84) at the time of writing.

Notably, the massive increase in the stock’s value is linked to the company’s most recent fundraising announcement. Its recent press release reveals that its board of directors has decided to issue new shares “by way of an International offering” to eligible investors to reach the intended amount. The Japanese bitcoin firm plans to issue 385 million shares at ¥553 ($3.75) per share to raise approximately ¥212.9 billion ($1.44 billion).

According to the release, it plans to use the proceeds from the share offering to boost its bitcoin reserve. Metaplanet’s long-term goal is to purchase more bitcoins to save the company from the Japanese Yen devaluation.

Moreover, Metaplanet believes that merely holding bitcoin is not enough to achieve its goal; thus, it has adopted BTC options trading to generate more bitcoin, as holding the apex coin does not yield passive income.

Following Monday’s purchase announcement, Metaplanet holds 20,136 BTC. At press time, bitcoin trades around $112,440 per coin; thus, its treasury is valued at over $2.26 billion.

Institutional BTC Investors on the Rise

Remarkably, since the American business intelligence company, Strategy, opened the door to corporate bitcoin investment in 2020, many firms have followed in its footsteps. Recent data indicate that institutional bitcoin investors have acquired over one million bitcoins, with the count continuing to grow.

Moreover, many investors have indirectly invested in the apex coin by purchasing shares of government-approved bitcoin exchange-traded funds (ETFs), which have achieved remarkable success since their introduction to the market in January 2024.          

Get Trending Crypto News as It Happens. Follow CoinTab News on X (Twitter) Now

Samuel Wilfred