Metaplanet Plans Fresh Funding Round as Bitcoin Treasury Sinks Deeper Into the Red
Metaplanet is moving ahead with another major capital raise as it deepens its corporate pivot into Bitcoin, according to new filings with the Tokyo Stock Exchange.
The company plans to issue 23.6 million Class B perpetual preferred shares at 900 yen ($5.71) apiece, raising ¥21.2 billion (approximately $135 million) in fresh capital.
The raise will be executed through a third-party allotment to overseas investors, contingent upon shareholder approval at an extraordinary meeting scheduled for Dec. 22, 2025. If approved, the move would mark one of the company’s largest capital-fueling events since it adopted a Bitcoin-focused treasury model.
The newly issued Class B shares will pay a fixed annual dividend of 4.9% on a $6.34 notional amount, translating to roughly $0.078 per quarter once regular distributions begin.
Holders will also gain the right to convert the preferred shares into common stock at a $6.34 conversion price, introducing a potential pathway for future dilution should the stock recover.
Market-Price Call Option Adds Strategic Flexibility
Beyond conversion privileges, Metaplanet has embedded a market-price call option into the new Class B issuance. The company will be permitted to redeem the preferred shares if its common stock trades above 130% of the liquidation preference for 20 consecutive trading days, giving executives a strategic mechanism to retire the preferred equity if market conditions turn favorable.
The shares are non-voting, though investors retain certain redemption rights under defined corporate events. Altogether, the structure mirrors common strategies seen among U.S.-based Bitcoin treasury firms, offering both capital flexibility and investor incentives while preserving managerial control.
Metaplanet Cancels Old Warrants and Restructures Financing
The capital raise coincides with a major restructuring of Metaplanet’s existing financing instruments.
The company plans to cancel its 20th through 22nd stock acquisition rights, replacing them with newly issued 23rd and 24th series rights to Evo Fund, a Cayman Islands–based investment vehicle. The changes remain subject to regulatory clearance.
In a post on X, CEO Simon Gerovich disclosed that the new preferred share program is branded Mercury, positioning it as a foundational pillar in Metaplanet’s long-term treasury framework.
“4.9% fixed dividend. ¥1,000 conversion price. A new step in scaling Metaplanet’s Bitcoin treasury strategy,†Gerovich wrote, signaling that the company views the financing shift not merely as a capital raise but as a structural evolution of its investment model.
Metaplanet’s share price briefly reacted to the news, closing the day up 3.20%, a modest gain in an otherwise troubled year. The stock remains down more than 60% over the past six months, according to Google Finance—an indication of investor unease amid evolving regulatory scrutiny and volatility in Bitcoin markets.
Metaplanet share price (Source: Google Finance)
Regulatory Backdrop: Japan Eyes Bitcoin-Holding Firms
The new capital strategy arrives as Japanese regulators weigh stricter oversight of listed firms holding significant Bitcoin allocations.
Earlier this month, reports indicated that Tokyo’s exchange operator was assessing new rules following the broader industry rout sparked by the collapse of several digital asset firms.
Although no formal proposals have been released, the timing places Metaplanet’s treasury expansion under a brighter regulatory spotlight—especially as it attempts to scale its position while navigating shareholder dilution and market weakness.
Bitcoin Bet Deep in the Red
Despite being Japan’s most prominent corporate Bitcoin holder—and the fourth-largest globally—Metaplanet’s Bitcoin treasury has moved deep into negative territory.
The company now holds 30,823 BTC, valued at about $2.82 billion, according to BitcoinTreasuries.NET.
Top 10 largest corporate BTC holders (Source: Bitcoin Treasuries)
However, the company’s average acquisition price of $108,036 per BTC places the position at a -15.17% unrealized loss, a dramatic reversal from October, when Bitcoin’s surge temporarily pushed the holdings into profit.
That loss profile has amplified questions about whether Metaplanet will double down on its Bitcoin strategy or shift toward a more diversified approach.
For now, the Mercury program signals that management intends to keep expanding—despite drawdowns and regulatory headwinds.
A High-Stakes Treasury Experiment Continues
Metaplanet’s aggressive pursuit of Bitcoin as a corporate treasury asset has positioned it as a flagship case study in Japan’s evolving approach to digital assets. With a fresh capital raise, new financing structure, and a preferred equity program built around long-term BTC accumulation, the company is doubling down at a time when markets and regulators remain divided.
Whether the Mercury program marks the beginning of Metaplanet’s next growth phase—or deepens the risks already weighing on shareholders—will be closely watched as the Dec. 22 vote approaches.
