French treasury firm Capital B raised $1.1 million through a share offering to buy 13 more bitcoin, lifting its reserve to 3,538 BTC worth about $294 million. The purchase lands the same week Strategy added to its own bitcoin stash, even as falling prices leave both companies' treasuries underwater.
Capital B completed a $1.1 million equity offering on Sept. 28 to fund the purchase of 13 additional bitcoin, expanding its core treasury strategy as bitcoin trades above $83,000.
Share issuance funds the purchase
The French firm issued 172,978 new ordinary shares at an average price of $6.45 each, for a total of $1,115,521 including share premium. That average price marked a 3.8% premium over the closing price of the prior session.
The issuance ran under an at-the-market emission contract renewed with asset manager Tobam on Jan. 26, consolidating subscription requests Tobam submitted between Sept. 14 and Sept. 22. Under the contract, each subscription price took the highest of three benchmarks: the prior session's closing price, an adjusted net asset value set by Capital B, or a floor price shareholders set at a June 17 general meeting, with requests capped at 21% of the preceding session's trading volume. The new shares will trade on Euronext Growth Paris, and Capital B said the transaction did not require a prospectus approved by French regulator the AMF.
Treasury value sits underwater
Capital B and its subsidiary Capital B Luxembourg SA now hold 3,538 bitcoin under the treasury strategy. That reserve carries an aggregate acquisition cost of $352.52 million, an average of $99,655 per bitcoin.
At the current price above $83,000, however, the reserve is worth near $294 million, putting the holdings underwater. Year to date the group reported a BTC Yield of 2.20%, a gain of 62.1 bitcoin worth about $5.22 million; for the third quarter, BTC Yield stood at 0.34%. Capital B holds a separate 61 bitcoin for operational purposes, excluded from the treasury reserve and its reported metrics.
Strategy makes a similar move
The purchase coincided with treasury giant Strategy's own addition of 1,665 bitcoin. That move brought Strategy's stash to 847,666 BTC at an average cost of $75,437 per coin. Like Strategy, Capital B has seemingly slowed its buying pace in recent months as falling crypto prices deepen unrealized losses across corporate treasuries.
Swissquote Bank Europe executed the latest acquisition and serves as sole custodian for Capital B's bitcoin holdings, using custody solutions from Swiss technology firm Taurus.
Source: Bitcoin News
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