The Blockchain Group Raises €7.2 Million for Bitcoin Reserve Expansion

The Blockchain Group has successfully completed a capital increase of approximately €7.2 million. This funding round was executed through the issuance of 1,603,306 ordinary shares, priced at an average of €4.49 each. The capital raise was part of the firm's broader strategy to strengthen its Bitcoin reserve and enhance its position in the Bitcoin investment sector. Alexandre Laizet, Deputy CEO and Director of Bitcoin Strategy, highlighted this move as a significant step in accumulating more Bitcoin for the company, aligning with its long-term goal of increasing bitcoins per share.

Shareholders approved the capital increase under the twelfth resolution during a meeting on June 10, 2025. This resolution replaced an earlier one from February 21, raising the permitted cap to €500 million. Following this authorization, the CEO decided to execute the capital increase on June 16, 2025. Subscription requests for the new shares were received between June 9 and June 13, 2025, in accordance with the agreed ATM type capital increase arrangement with TOBAM. This inclusion of TOBAM reflects growing investor interest in crypto financing.

The share price for each day was determined as the higher of the prior closing price or the Volume Weighted Average Price (VWAP). Each subscription could not exceed 21% of the previous day’s trading volume, ensuring that stock price swings did not alter the calculated issue price level. The average issue price of €4.49 represented a 20.76% discount to the June 13 closing price, adhering to the terms set out in the ATM pact dated June 6, 2025. These terms ensured fair market pricing within regulated thresholds, linking share issuance directly to market liquidity conditions.

The new shares will be listed and traded on the Euronext Growth market in Paris. Due to the offering type, no formal prospectus was required under AMF rules, avoiding lengthy regulatory requirements for ATM type funding programs. This approach is suitable for firms with dynamic crypto and tech-oriented strategies, allowing for quicker operational moves in fast-changing markets and potentially lowering issuance costs. This structure is often used by many Bitcoin investment companies to support their capital plans.

In this transaction, The Blockchain Group waived shareholder preferential rights and offered the new shares exclusively to TOBAM. Three TOBAM-managed funds acquired all 1,603,306 newly issued shares. The Bitcoin CO2 Offset Fund bought 834,806 shares for approximately €3.77 million, the Bitcoin Treasury Opportunities Fund subscribed to 735,000 shares, and the BTC Linked and Blockchain Equity Fund received 33,500 shares. This targeted allocation reflects a deliberate strategy aligned with the company’s BTC reserve strategy and its partnership with bitcoin-focused investment funds.

Earlier strategic steps included a notable bitcoin purchase worth $50.64 million on March 26, 2025. This acquisition marked one of the firm’s largest crypto treasury purchases, underscoring the company’s growing institutional alignment with bitcoin assets. This pattern of funding and buying supports evolving crypto business models and aligns with the strategies of top Bitcoin investment companies. Market watchers view these actions as key industry trend indicators, highlighting the firm's long-term treasury goals and its evolving role in the Bitcoin investment landscape.