Brazilian fintech firm Méliuz (CASH3), serving over 30 million users, has revealed its plans for a public equity offering to raise up to R$450 million ($78 million). The company intends to funnel all proceeds into purchasing Bitcoin, which it now considers a primary strategic asset in its treasury. The offering, announced on Friday, will consist of an initial issuance of 17 million common shares, expandable to 51 million depending on demand. Shares will be sold only to professional investors in Brazil and overseas under automatic registration rules.
Each share bought will provide investors with free subscription warrants across 10 series, allowing future stock purchases at specified prices. Should the offering go as planned, Méliuz expects to raise approximately $26 million initially, a number that could triple if the overallotment options are exercised. Investors will also receive 50.6 million warrants, with the potential for total issuance to reach 152 million.
Méliuz, known for its cashback service, had previously allocated 10% of its reserves to Bitcoin back in March but is now elevating its stake. Currently, it holds 320.2 BTC. Following the announcement, Méliuz shares fell more than 8% in Friday’s trading, reflecting investor skepticism around using raised funds for crypto acquisition amidst increased volatility in the market.
Each share bought will provide investors with free subscription warrants across 10 series, allowing future stock purchases at specified prices. Should the offering go as planned, Méliuz expects to raise approximately $26 million initially, a number that could triple if the overallotment options are exercised. Investors will also receive 50.6 million warrants, with the potential for total issuance to reach 152 million.
Méliuz, known for its cashback service, had previously allocated 10% of its reserves to Bitcoin back in March but is now elevating its stake. Currently, it holds 320.2 BTC. Following the announcement, Méliuz shares fell more than 8% in Friday’s trading, reflecting investor skepticism around using raised funds for crypto acquisition amidst increased volatility in the market.
