Key Points
- Metaplanet Inc. is planning to issue ¥4B ($26.3M) in ordinary bonds to boost its Bitcoin strategy.
- The company aims to accumulate at least 21k Bitcoins by the end of 2026.
Metaplanet Inc., a Japan-based company, is focusing on acquiring as much Bitcoin as possible and has released key financial data for 2024. The company, with a net value of about ¥213 billion, has also unveiled plans to enhance its Bitcoin strategy.
The company’s goal is to accumulate at least 10k Bitcoins by the end of 2025. By utilizing the global capital markets, Metaplanet aims to gather at least 21k Bitcoins by the end of 2026.
Investor Support and Bitcoin Acquisition
Metaplanet has received backing from significant investors, who also have substantial investments in Strategy (NASDAQ: MSTR), led by Norges Bank from Norway and Capital Group, which manages over $2.7 trillion in AUM.
On Monday, Metaplanet announced its intention to issue ¥4 billion, equivalent to about $26.3 million, in ordinary bonds to purchase additional Bitcoins. The company’s board of directors unanimously approved a plan to issue its 6th series of Ordinary Bonds to EVO FUND.
The company stated that the funds raised through this issuance would be allocated for the purchase of Bitcoin. They also emphasized that the Ordinary bond issuance would bear no interest rate, collateral, or guarantee. The company anticipates that the latest bond issuance will have minimal impact on the consolidated financial results for the fiscal year ending December 2025.
Currently, the company holds about 1,762 Bitcoins, representing around 15 percent of its market cap. However, this ratio is expected to grow exponentially in the future.
Financial Performance in 2024
Metaplanet also released its fourth quarter and full year 2024 financial results. The company reported unrealized gains of about $35 million from its Bitcoin holdings.
During the 2024 financial year, Metaplanet’s total assets increased by 1,720 percent to about ¥30.3 billion, compared to 2023. This marked the first year that Metaplanet achieved an operating profit since 2017.
The company’s Bitcoin strategy contributed to a 500 percent increase in its shareholder base to more than 50k. In the fourth quarter, Metaplanet achieved a 334 percent gain in its Bitcoin holdings to about 1,332 from the initial Bitcoin trove of about 398 units.
Following the announcement, the company’s stock market rose 7.5 percent on Monday to close Japan’s trading session at about ¥5,880.
