Metaplanet, a Japanese investment firm has announced the issuance of new ordinary bonds worth $30 million (¥4.5 billion) with a specific goal to accelerate the company’s acquisition of bitcoin.
This is the fourth bond issuance by Metaplanet with the previous bond in Nov. 2024 worth $11.31 million (¥1.75 billion). The company also intends to raise up to ¥5 billion in private placement bonds through a series of issuances, re-echoing the company’s adoption of bitcoin as a strategic treasury reserve.
The bonds mature on June 16, 2025 and they are issued with no interest. The proceeds of previously issued warrants will be the main source of the redemption cash for these bonds.
Despite the volatility of the crypto market, Metaplanet’s choice to issue zero-interest bonds shows a strong belief in the prospective rewards from bitcoin investments. This strategy minimizes immediate interest liabilities while enabling the business to efficiently harness its financial resources.
In order to maximize its capital structure and increase shareholder value, Metaplanet dubbed the “Japanese Microstrategy” has implemented creative financial management techniques, which are demonstrated by the utilization of warrant proceeds for bond redemption.
The issuance of these bonds is part of a larger effort by Metaplanet to include digital assets in its portfolio which could potential influence other corporate organizations in Asia to incorporate bitcoin investments into their financial assets.
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