Smarter Web Company Explores New Fundraising Model with $21 Million Bitcoin-Denominated Bonds Backed by Tobam

Key Points

1. The Smarter Web Company launched a Bitcoin-denominated bond, raising $21 million, a first for UK capital markets.

2. The bond is convertible into company shares at a 5% premium compared to its Aug. 5 price of $2.60, with a conversion price of approximately $2.73.

3. If all bonds convert, over 7.7 million new shares will be issued, providing a unique fundraising avenue without immediate share dilution.

4. The company can force conversion if the share price rises by 50% above the conversion price for 10 consecutive trading days; otherwise, it will repay 98% of the BTC price at maturity.

5. The bond allows the company to manage capital efficiently while increasing its Bitcoin holdings, currently at 2,050 BTC worth around $234 million.