Metaplanet’s Strategy Tested by Bitcoin Downturn and Share Dilution

Metaplanet JP3481200008

Shares of Metaplanet faced renewed selling pressure in Tokyo trading, declining approximately 6% on Friday. This drop extends a prolonged bearish trend for the company, with its stock having lost more than 63% of its value over the preceding six-month period, according to market data.

The current headwinds are twofold, stemming from a challenging cryptocurrency environment and a recent corporate financing move.

A significant factor behind the market's concern is the state of Metaplanet's primary treasury asset. The company held a total of 35,102 BTC as of the end of 2025. With an average reported purchase price of roughly $107,716 per Bitcoin, the portfolio is now under substantial pressure. The recent slide in Bitcoin's value to around $60,000 in Asian trading means the holdings are sitting on an unrealized loss of approximately 47%.

This situation mirrors challenges faced by other corporate Bitcoin holders, such as MicroStrategy, which also reported substantial paper losses in the fourth quarter of 2025 due to declining digital asset prices.

CEO Reaffirms Commitment Despite Volatility

In response to the market turbulence, Metaplanet's Chief Executive Officer, Simon Gerovich, publicly reaffirmed the company's strategic direction. Writing on the social media platform X, Gerovich stated that Metaplanet would "continue to accumulate Bitcoin on a consistent basis" while also working to grow revenues, irrespective of the current downturn.

This commitment comes at a sensitive time. The decline in Bitcoin from its late-2025 highs has pushed the market value of the company's holdings significantly below their book value, placing the accounting implications and the gap between cost basis and market price at the center of investor debate.

Capital Raise Provides Funds but Weighs on Share Price

On January 29, Metaplanet announced a capital raising initiative aimed at securing roughly 21 billion yen (equivalent to about $137 million). The proceeds are intended to fund additional Bitcoin acquisitions and service existing debt obligations.

The financing package, based on the disclosed details, consists of:
* The issuance of 24.53 million new common shares at a price of 499 yen per share.
* Share purchase warrants carrying an exercise price of 547 yen.

While this capital injection provides the company with liquidity to potentially buy Bitcoin at lower prices, it also introduces a notable dilution risk for existing shareholders. The announcement has acted as an additional weight on the share price since it was made.

The next key date for investors is February 13, when the settlement for the new share allocation is scheduled. This will determine how quickly the freshly raised capital becomes available for the company's stated purposes.

@ boerse-global.de | JP3481200008 METAPLANET’S