Metaplanet Shares Skyrocket After Bitcoin Purchase Announcement

An investment company plans to obtain a 1 billion yen loan, equivalent to $6.8 million, to bolster its Bitcoin holdings, according to an August 8 announcement.

Earlier this week, Metaplanet announced its intention to raise 10.08 billion yen (approximately $70 million) by issuing an 11th series of rights to all common shareholders.

This offering allows shareholders to purchase one stock acquisition right per common share, with an option to purchase shares at a price of 555 yen (approximately $4) between September 6 and October 15.

The company believes these acquisitions are critical to its long-term strategy.

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They stated:

Our primary policy is to hold Bitcoin for the long term; however, if Bitcoin is used in operations, the applicable Bitcoin balance will be classified as a current asset on the balance sheet.

This news reportedly boosted the company’s share price by over 20%, reaching 893 yen at the time of writing.

This is a continuation of the upward trend seen since the company shifted its focus to Bitcoin, with its shares up more than 458.13% since the beginning of the year.

As for the loan, Metaplanet plans to borrow the funds at an annual interest rate of 0.1% for six months.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.