In Paris, on Monday, The Blockchain Group announced plans to raise €300 million ($342 million) to increase its Bitcoin holdings. This move follows a trend of public companies adopting similar strategies, inspired by software firm Strategy's Bitcoin-focused approach. (Source: Decrypt, Date: Monday)
The company intends to raise funds through an "at-the-market" offering in partnership with French asset manager TOBAM. TOBAM will directly acquire shares from The Blockchain Group daily, with the purchase price based on the previous day's closing price or volume-weighted average price. The number of purchasable shares will be capped at 21% of daily trading volume.
The Blockchain Group's shares were trading at €4.80 ($5.48), up 17% in the past 24 hours. This follows the company's purchase last week of $68 million in Bitcoin. Bitcoin is currently trading at approximately $108,400, up 55% over the past year.
More than five dozen public companies hold Bitcoin on their balance sheets, with holdings worth a combined $82 billion. The Blockchain Group's agreement with TOBAM allows TBG to issue up to €300 million worth of new shares over six months. The company will provide updates on new shares issued and disclose its growing Bitcoin holdings.