French company Capital B, which manages a bitcoin treasury, announced raising €21.0 million ($24.5 million) through a private placement of shares.
According to an August 28 announcement, the fundraising was conducted at a price of €0.58 per ABSA — one share bundled with four warrants to subscribe for shares — on a non-preemptive basis. Participants in the placement included legendary cypherpunk and CEO of the Bitcoin-focused blockchain development company Adam Back, as well as asset management firm TOBAM.
If all issued warrants are exercised, Capital B would receive an additional €135.8 million ($158 million) in capital injections through the issuance of 144,876,280 ordinary shares. The company reserves the right to initiate an accelerated exercise period for the warrants if the volume-weighted average price of its shares over the previous 20 trading days exceeds 130% of the exercise price of the corresponding warrant tranche.
Capital B plans to use the proceeds from the placement to acquire 270 bitcoins ($BTC), increasing its total reserves to 3,415 $BTC. According to CoinMarketCap data, the company currently ranks 29th among public companies with bitcoin treasuries: its reserves hold 3,139 $BTC worth less than $249 million — behind Bitcoin Group SE, which holds 3,605 $BTC worth less than $286 million. While Capital B's reserves are significant, they are not comparable to those of the first and largest company with a bitcoin treasury, Strategy: at the time of writing, it held 843,775 $BTC worth nearly $67 billion.
The news comes after Capital B presented a proposal to its board of directors in early June, which included authorization for a capital increase of up to €5 billion ($5.8 billion) through the issuance of 125 billion shares at the current nominal value and credit instruments worth $116 billion. The resolution was passed with 162,486,459 votes — 99.34% — in favor, while smaller companies managing treasury reserves were offloading their assets.
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