Metaplanet to Issue $329M Zero-Coupon Bonds to Cut Bitcoin Loan Reliance

Japanese Bitcoin treasury company Metaplanet has announced plans to issue 52 billion yen ($329 million) in zero-coupon, euro-yen convertible bonds due in 2031. The Tokyo-listed firm will use approximately 23.6 billion yen ($149 million) of the net proceeds to repay Bitcoin-collateralized loans and 28.3 billion yen ($179 million) to fund share buybacks under a new repurchasing program targeting up to 60 billion yen ($380 million) in total.

The bond issuance is designed to restructure Metaplanet's debt and reduce its reliance on Bitcoin-backed borrowing without requiring it to sell any of its BTC holdings. Metaplanet currently ranks as the second-largest corporate Bitcoin treasury firm, holding 44,000 BTC valued at roughly $3.6 billion, according to BitcoinTreasuries data. The zero-interest design offers bondholders equity conversion rights rather than fixed coupon income.

Market reaction was muted, with Metaplanet's share price closing 1.5% lower in Tokyo on Tuesday, extending its 52.6% slide over the past 12 months, per Yahoo Finance. The funding move follows earlier operational decisions, including a revised capital allocation framework that permits up to 15% of total assets for strategic investments to support Bitcoin accumulation and dividend payments.

In September, Metaplanet drew criticism from shareholders after expanding its Series 10 executive stock option pool nearly sevenfold, before trimming the pool by 41% on Sept. 11 by cutting potential underlying shares from 319.464 million to 188.19 million. The company had also recently purchased an additional 2,823 BTC, pushing its holdings past the 43,000 mark before the latest disclosure.