UK-based web design and marketing firm The Smarter Web Company has successfully raised $56.59 million through institutional investors. This significant capital injection comes just days after the company made a substantial purchase of 196 Bitcoin, further expanding its cryptocurrency holdings as part of its evolving treasury strategy.
Smarter Web Company Secures Significant Funding
The Smarter Web Company announced on Thursday that it had raised 41.2 million British pounds ($56.59 million) from institutional investors. This capital was secured through an accelerated bookbuild process, a method designed for rapid capital acquisition without extensive marketing. The breakdown of the raise is as follows:
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Accelerated Bookbuild: 36.27 million British pounds ($49.8 million)
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Subscription: 4.97 million British pounds ($6.82 million)
The offer price for shares was 2.9 British pounds ($3.98) per share, with the newly issued stocks expected to become effective from July 1.
Bitcoin Treasury Strategy Expands
The funding round closely followed The Smarter Web Company's recent Bitcoin acquisition. Just two days prior, the company spent over $20 million to purchase 196.8 Bitcoin (BTC) at an average price of $103,290 each. This latest acquisition brings their total Bitcoin holdings to 543.52 BTC as of Tuesday, acquired at an average price of $104,450, with a current valuation of approximately $58.19 million.
The company has been actively accumulating Bitcoin throughout June, making five separate purchases. This aggressive strategy has seen their Bitcoin stack grow from 83.24 BTC at the end of May to 543.52 BTC, an increase of 460.28 BTC in less than 30 days. The Smarter Web Company initiated its Bitcoin treasury strategy in April, building on its practice of accepting Bitcoin as payment since 2023.
Stock Performance Amidst Crypto Buys
Despite the successful capital raise and growing Bitcoin reserves, The Smarter Web Company's stock (TSWCF) experienced a decline. Trading on the OTCQB market in the US, shares fell by 15% on Thursday, closing at $3.56 after hitting an intraday low of $3.19. An additional 1.8% drop occurred after hours, bringing the closing price to $3.49.
However, it's important to note that even with this recent dip, the company's stock remains up 274% year-to-date, indicating strong overall growth throughout the year.
Key Takeaways
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The Smarter Web Company raised over $56 million from institutional investors.
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This funding follows a significant purchase of 196 Bitcoin, bringing total holdings to over 543 BTC.
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The company's aggressive Bitcoin treasury strategy has seen its crypto holdings surge in June.
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Despite the positive news, the company's stock saw a 15% decline on Thursday, though it remains significantly up year-to-date.
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Other UK firms, such as Vinanz and Abraxas Capital, are also increasing their Bitcoin holdings, highlighting a growing trend in the region.
Sources
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The Smarter Web Company Raises $56M After 196 Bitcoin Buy, Cointelegraph.
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