DDC Enterprise Raises $528 Million for Bitcoin Treasury Strategy

DDC Enterprise has announced a significant capital raise of $528 million to bolster its Bitcoin treasury strategy. This move comes after the company initiated its Bitcoin accumulation plan with an initial purchase of 21 BTC last month.
aims to acquire 500 BTC within six months and at least 5,000 BTC within three years. The funding round includes a $26 million private investment in public equity (PIPE), a $300 million convertible note, a $200 million equity line, and a $2 million private equity placement. Notably, Anson Funds, Animoca Brands, Kenetic Capital, QCP Capital, and a network of leading institutional funds and individual Bitcoin investors have signed agreements with DDC.DDC Enterprise's founder and CEO, Norma Chu, emphasized the significance of this capital commitment, stating that it represents a strong mandate to execute an ambitious corporate Bitcoin accumulation strategy globally. The proceeds from this funding will be exclusively used to purchase more Bitcoin, aligning with DDC's mission to become one of the most valuable corporate Bitcoin holders. The company expects to issue up to 2,435,169 Class A Ordinary shares at an average price of $10.30 per share. Anson Funds will play a crucial role in the $300 million convertible secured note offering, with plans to issue notes in two parts: the first worth $25 million and another up to $275 million. Additionally, Anson Funds will purchase 307,693 Class A Ordinary shares for $2 million. DDC will also have a $200 million equity line of credit from Anson Funds to make Bitcoin purchases at the dip and management discretion.
This accelerated strategy is expected to position DDC in the top 20 list of corporate Bitcoin holders. The institutional accumulation of Bitcoin in corporate treasuries has fueled the BTC price to hit an all-time high of $112,000. DDC Enterprise's focus is on growing its BTC treasury and delivering an attractive BTC yield consistently for shareholders. The company aims to use Bitcoin exclusively as a reserve asset, reflecting a broader trend of institutional adoption of digital assets. This move underscores DDC's confidence in the long-term value of Bitcoin and its intention to leverage the cryptocurrency as a key component of its financial strategy.

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