BlockStream's Adam Back Joins $24.5M Investment Round for Capital B's Bitcoin Treasury Strategy
Capital B, a Bitcoin treasury company based in France, completed a private placement raising $24.5 million with backing from Adam Back and TOBAM, while warrant conversions could bring in an additional $158 million.
Capital B, a Bitcoin treasury firm operating out of France, has disclosed the completion of a €21.0 million ($24.5 million) fundraising initiative executed via a private share placement mechanism.
Based on the announcement released on Aug. 28, the capital raising exercise was structured at a price of €0.58 for each ABSA — a unit consisting of a single share coupled with four share-subscription warrants — executed without allowing for pre-emptive subscription privileges. The investment round attracted notable participants including Adam Back, the renowned cypherpunk figure and chief executive of Bitcoin-focused blockchain development company BlockStream, alongside asset management firm TOBAM.
Should every warrant that has been issued reach full exercise, Capital B stands to receive an additional capital infusion of €135.8 million ($158 million) via the creation of 144,876,280 new ordinary shares. The organization retains the authority to initiate an accelerated exercise window for warrants in circumstances where the volume weighted average share price across the preceding 20 trading sessions surpasses 130% of the strike price designated for the applicable warrant tranche.
The funds generated from this capital raise will be allocated by Capital B toward the acquisition of 270 Bitcoin (BTC), which would elevate the company's aggregate Bitcoin position to 3,415 BTC. Data sourced from CoinMarketCap indicates that the firm presently ranks as the 29th largest publicly listed Bitcoin treasury entity, holding 3,139 BTC valued at less than $249 million in its reserves — positioned just behind Bitcoin Group SE, which maintains 3,605 BTC valued at under $286 million. Despite being substantial, Capital B's Bitcoin accumulation remains modest when compared to Strategy, the pioneering and largest Bitcoin treasury corporation, which commands 843,775 BTC worth approximately $67 billion as of this writing.
This development arrives after Capital B presented a proposal to its board of directors in early June requesting authorization to establish capital increase capacity of up to 5 billion euros ($5.8 billion) through the issuance of 125 billion shares at their present nominal value alongside $116 billion in credit instruments. The measure achieved approval with 162,486,459 affirmative votes — representing 99.34% support — occurring during a period when other smaller treasury companies opted to divest their Bitcoin holdings instead.