Japanese investment adviser Metaplanet Inc. has wrapped up its 11th round of stock acquisition rights, raising 10 billion yen ($66 million). The rights were first announced on Aug. 6, when the company’s stock was trading at around 700 yen. Shareholders were offered the chance to buy new shares at a lower price of 555 yen each.
In May, Metaplanet Inc. made bitcoin a reserve asset to protect against fluctuations in the yen. The company now holds 861.4 BTC, according to reports, and its stock has surged 642% so far this year.
How Metaplanet Inc. Stocks Acquisition Rights Program Was Shared
Shareholders were given stock acquisition rights at no cost, with each receiving one right per common share they owned. The rights were available from Sept. 6 to Oct. 15, allowing shareholders the option to exercise them or let them expire.
*Metaplanet Announces Results of Stock Acquisition Rights Exercise* pic.twitter.com/MquO6JFNEX
— Metaplanet Inc. (@Metaplanet_JP) October 22, 2024
During this period, 72.8% of the 18.1 million stock acquisition rights were exercised by 13,774 shareholders, resulting in the issuance of 13.2 million new shares and raising 7.32 billion yen (approximately $48.5 million).
For the shareholders who decided not to exercise their rights—totalling 1.7 million units—these were transferred at no cost to MMXX Ventures Limited (1.5 million units), its CEO Simon Gerovich (215,180 units), and the EVO Fund (4.9 million units).
After these transfers, the total capital raised increased to 10 billion yen (around $66 million), with the EVO Fund’s portion accounting for 5.7 billion yen (roughly $37.8 million).
Metaplanet Gets $1.4 Million Profit From Selling Over 200 Bitcoin Put Options
Metaplanet Inc. shared that it earned 23.9 Bitcoin (about $1.4 million) in premium income after selling 223 Bitcoin Put Options to QCP Capital.
QCP Capital, a digital asset trading firm based in Singapore, purchased the BTC put options. Metaplanet Inc. announced the details of this transaction, along with the profits made, on their X page, offering a detailed breakdown.
According to the announcement, the premium collected was 0.1075 Bitcoin per contract. Metaplanet also explained their reasoning behind the deal, outlining their investment strategy.
The Japanese company noted that the transaction lets them take advantage of Bitcoin’s price swings, allowing them to earn premium income while keeping a fully cash-backed position.
“This strategy not only enhances the company’s Bitcoin reserves but also reinforces its balance sheet, aligning with our ongoing financial strategy to strengthen long-term Bitcoin exposure and improve the company’s financial position, supporting its path toward profitability,” it added.
Metaplanet Increases Bitcoin Holdings Amid Put Option Profit
Metaplanet is selling 223 Bitcoin put options, positioning itself to buy more Bitcoin if the price drops below $62,000 at the contract’s maturity. In addition to its deal with QCP Capital, Metaplanet has announced an increase in its Bitcoin holdings. The Japanese firm recently added 107.9 Bitcoin, valued at $7 million, to its reserves. With this latest acquisition, Metaplanet now holds a total of 530.7 Bitcoin, worth around 4.96 billion yen ($34 million).
*Metaplanet sells $BTC put options, earns 23.97 $BTC in premium income* pic.twitter.com/w8qO0fifr1
— Metaplanet Inc. (@Metaplanet_JP) October 3, 2024
MicroStrategy, under the leadership of Michael Saylor, remains the largest corporate Bitcoin holder with 252,220 BTC, valued at around $9.91 billion. A put option gives the buyer the right, but not the obligation, to sell an asset at a predetermined price (the strike price) within a set timeframe.
Metaplanet’s ability to hold Bitcoin as a reserve asset while also offering stock acquisition rights has strengthened its growth. By utilizing these stock rights and selling Bitcoin put options, the company is increasing its asset base while protecting itself from market volatility.
It’s said that with 861.4 BTC in their reserves and their shares increasing by 642% this year, the riskier investments of the company seem to be working. By adapting to a changing financial environment, Metaplanet Inc. seems to be well poised to progress in the future.
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