Key facts
- Metaplanet will allocate 10% to 15% of its assets to strategic investments, including income-generating assets.
- Bitcoin remains Metaplanet's core treasury reserve asset, accounting for 85% to 90% of total assets.
- The company aims to enhance financing capacity and credit quality to grow its Bitcoin holdings per share.
- Metaplanet issued corrected securities filings regarding CEO Simon Gerovich's voting rights.
- Metaplanet cut its Series 10 executive stock option pool by 41%, reducing potential shares from 319.5 million to 188.19 million.
- Metaplanet trades at 0.80x its Bitcoin NAV, indicating investors pay $0.80 for every $1 of Bitcoin it owns.
Japanese investment company Metaplanet announced on Monday a new net interest income strategy designed to boost its Bitcoin accumulation and dividend payments. The company will allocate between 10% and 15% of its total assets to strategic investments, which can include mergers and acquisitions and interest-generating assets.
Bitcoin remains the primary treasury reserve asset for Metaplanet, representing 85% to 90% of its total assets. This strategic shift aims to improve the company's financing capabilities and creditworthiness, thereby increasing its Bitcoin holdings per share through further acquisitions.
The announcement follows recent shareholder concerns regarding Metaplanet's governance and capital structure. On Friday, the company issued revised securities filings to clarify that CEO Simon Gerovich does not possess majority voting rights in MMX Ventures, a shareholder in Metaplanet. A pseudonymous shareholder, Bitcoin Pharaoh, has called for further transparency, seeking explicit identification of MMX Ventures' owners and clarification on Gerovich's indirect stake.
In early September, Metaplanet faced criticism for significantly expanding its Series 10 executive stock option pool. The company subsequently reduced the pool by 41%, cutting potential shares from 319.5 million to 188.19 million. CEO Simon Gerovich stated this change extinguished over $220 million in warrant value and increased the company's Bitcoin per fully diluted share by approximately 8.8%. However, asset manager VanEck believes significant shareholder dilution has already occurred and urged Metaplanet to reverse the share expansion.
Metaplanet's market to Bitcoin NAV ratio, which compares the company's market value to its Bitcoin holdings, was trading at 0.80x as of Monday's close in Tokyo. This indicates that investors are currently valuing the company at $0.80 for every $1 of Bitcoin it holds.