The Blockchain Group (ALTBG), a Paris-listed firm specializing in data intelligence and decentralized technologies, has recently completed the issuance of €63.3 million (approximately $71.9 million) in convertible bonds. This strategic move is aimed at bolstering the company’s bitcoin treasury strategy and reflects its commitment to further enhance its position within the digital asset space.
The financing arrangement, which was executed through its subsidiary in Luxembourg, marks a significant step in expanding The Blockchain Group’s bitcoin (BTC) reserves and strengthening its investor base. This move not only aligns with the growing trend of asset digitization but also positions ALTBG to leverage the increasing adoption of cryptocurrencies.
A notable aspect of this financing initiative includes a $5.7 million BTC-denominated bond that has been subscribed by Moonlight Capital. This bond was issued at a 30% premium over the May 23 closing price, which stood at $4.30 per share. Such terms emphasize the confidence investors have in ALTBG’s market stability and future growth potential.
In addition to this, the company has completed the exercise of all rights associated with its Convertible Bonds B-02, commonly referred to as “OCA Tranche 2,” initially reserved for strategic partners Fulgur Ventures and UTXO Management, at a price of $0.79 per share. This transaction totaled approximately $66 million, highlighting the robust interest from its strategic investors.
Furthermore, significant developments occurred with investor Adam Back, who has opted to convert all his OCA Tranche 1 bonds into 14.88 million shares. This pivotal move reflects a long-term alignment with the company’s vision and underscores Back’s optimism regarding the future trajectory of The Blockchain Group.
These substantial capital inflows are projected to facilitate the acquisition of 590 BTC, allowing The Blockchain Group to potentially increase its overall holdings to approximately 1,437 BTC. This uptick in assets not only complements its bitcoin treasury strategy but also enhances the firm’s financial resilience in an ever-evolving cryptocurrency landscape.