Méliuz’s Strategic Investment in Bitcoin
Méliuz, a Brazilian fintech company traded on the stock market, has announced an ambitious plan to invest approximately $26.5 million in Bitcoin (BTC) as part of a new treasury strategy. This move follows the company’s recent transformation into Brazil’s first publicly listed Bitcoin treasury entity, having previously acquired nearly $28.5 million worth of Bitcoin equivalent to 274.52 BTC.
Fundraising Initiatives
The firm is gearing up to continue its Bitcoin purchases in the upcoming weeks. Méliuz aims to raise at least 150 million Brazilian real (around $26.5 million) specifically for this purpose. Communication has been made to shareholders regarding these intentions, as the company currently assesses various fundraising mechanisms.
Méliuz’s CEO, Israel Salmen, indicated that the firm is considering options such as issuing new shares or convertible debt to secure the necessary funds. To facilitate these plans, the company has engaged the investment banking firm, BTG Pactual, which will oversee the process once Méliuz is ready to proceed with its upcoming Bitcoin acquisition.
Details on Fundraising Options
In further details shared by Marcio Loures Penna, who serves as the company’s Director of Investor Relations and Corporate Governance, the fundraising may involve the issuance of financial instruments that could be either convertible into shares or non-convertible debt securities. Additionally, they are contemplating a primary public offering of common shares, potentially sweetened with subscription bonuses for investors.
Contingent Plans and Future Outlook
Although the company has set a target of raising 150 million real, it expressed a willingness to spend more if advantageous investment opportunities arise. However, Méliuz cautioned that its plans remain tentative and contingent on completing an evaluation phase before proceeding with any further Bitcoin acquisitions.
As for the timing of its next purchases, the company did not disclose specific dates. Earlier this month, Méliuz confirmed that its shareholders had overwhelmingly voted to transition into the first listed Bitcoin treasury company in Brazil. Currently, the firm holds a total of 320.2 BTC.
Commitment to Shareholders
“The company will keep shareholders and the public updated on developments regarding its Bitcoin purchasing strategy, adhering to best practices in corporate governance and relevant regulations.”
Founded in 2011, Méliuz offers cashback and vouchers for engaging consumers with both online and physical retailers, alongside operating the Méliuz credit card. It successfully raised $103 million through an initial public offering on the Brazilian B3 exchange in November 2020.
