Funding Background: Europe's First Bitcoin Treasury Company Expands Capital
The Blockchain Group (ALTBG), listed on Euronext Growth Paris and recognized as Europe's first Bitcoin Treasury Company, has announced a capital increase of approximately €8.6 million to boost its Bitcoin Treasury Company strategy. The financing was conducted through two operations: a Reserved Capital Increase and a Private Placement, both priced at €1.279 per share. This price represents a 20.18% premium over the 20-day volume-weighted average share price but a 46.26% discount compared to the closing price on May 19, 2025, reflecting recent high share price volatility.
According to the company's press release, the Board of Directors decided on May 19, 2025, using delegated authority from the shareholders' meeting held on February 21, 2025 (5th resolution), to issue 3,368,258 new ordinary shares without pre-emptive rights at €1.2790 per share, raising a total subscription amount of €4,308,001.98. The issuance price represented a premium of approximately 20.18% compared to the weighted average of the 20 closing prices preceding the Board's decision.
Funding Details: Investor Composition and Terms
In the Reserved Capital Increase, 3.37 million shares were issued to selected investors, including Robbie van den Oetelaar, TOBAM Bitcoin Treasury Opportunities Fund, and Quadrille Capital, raising over €4.3 million. The Private Placement raised another €4.35 million via the issuance of 3.4 million shares targeting qualified investors. The company emphasized that the offering was limited to a closed circle of investors acting on their own behalf or qualified investors.
Following the capital increase, the company's share capital stands at €4.37 million, divided into over 109 million shares. Notably, on May 12, 2025, The Blockchain Group announced it had secured approximately €12.1 million through a convertible bond issuance reserved for Adam Back, CEO of Blockstream, further strengthening its Bitcoin treasury position.
Use of Funds and Strategic Outlook
The proceeds will support The Blockchain Group's ongoing strategy of accumulating Bitcoin and expanding its subsidiaries in data intelligence, AI, and decentralized tech. The company stated: "The funds raised through the Capital Increase will enable the Company to strengthen its Bitcoin Treasury Company strategy, consisting in the accumulation of Bitcoin, while continuing to develop the operational activities of its subsidiaries." This move underscores the growing acceptance of Bitcoin as a corporate treasury asset in Europe and highlights the role of regulated capital markets in enabling institutional crypto adoption.