Capital B’s Dynamic Shift in Bitcoin Holdings

Capital B has significantly increased its bitcoin reserves, reaching a substantial total of 2,925 BTC. This expansion follows a series of strategic debt conversions and equity raises, reaffirming its position as a unique public company dedicated exclusively to bitcoin treasury management.

What Adjustments Were Made?

Recent organizational changes saw Capital B undertake significant restructuring. Specifically, its OCA B-01 convertible bonds underwent major conversions. Blockstream Capital Partners exchanged 17,897,600 of these bonds for 32,900,000 ordinary shares, while UTXO Management converted 2,020,372 bonds into 3,713,919 shares. Both conversions occurred at a rate of €0.544 per share, resulting in a fresh issuance of 36,613,919 shares via debt offset.

Further highlighting the firm’s focus on bitcoin, Capital B provides shareholders with direct exposure to the cryptocurrency. It ranks amongst major players with significant bitcoin holdings, paralleling the strategies of corporations like MicroStrategy.

What Do These Transactions Mean for Investors?

In additional developments, Blockstream Capital Partners and UTXO Management exercised their free BSA 2025-01 warrants to further their equity stakes. Blockstream added 4,700,000 shares, costing €2.56 million; UTXO Management similarly invested €0.29 million for 530,559 shares. Moreover, 4,464,712 BSA 2025-01 warrants were converted into 637,816 shares, yielding €0.35 million in cash as these securities neared expiry.

Through these strategic moves, Capital B now holds a total of 2,925 BTC, a result of investing €269.4 million, with an average acquisition rate of €92,096 per bitcoin.

Additional purchases included 37 BTC for €2.3 million, translating to an average cost of €60,892 per coin, aligning with Capital B’s robust treasury aims.

• Capital B reported a year-to-date BTC Yield of 1.25%.
• This reflects in a BTC Gain of 35.3 BTC and a gain in euros of €2.2 million.
• In the current quarter, the company noted a 0.53% BTC Yield, equating to 15.2 additional BTC and €0.9 million in gains.

With the influx of new capital amounting to €3 million in March, from backing entities such as TOBAM and UTXO Management, Capital B is gearing up for further acquisitions, projecting around 36 new bitcoins.

The aggregate share capital of Capital B now totals 272,210,021 shares, expanding to a fully diluted figure of 397,622,899 shares, factoring in remaining convertibles, warrants, and share plans. Tracking this progress, the firm calculates 730 satoshis of bitcoin per diluted share, anchoring its commitment to an equity-financed bitcoin model. It has earmarked an additional 60 BTC for operational use, keeping it distinct from its primary reserves.

Capital B noted its commitment to regularly publishing BTC Yield, BTC Gain, and BTC € Gain metrics, providing transparency to investors interested in its approach to equity-financed bitcoin accumulation.