Metaplanet stock price briefly surged 10% to 540 JPY after announcing a 150 million share buyback program, but later retraced to 500 JPY.
By Bhushan Akolkar
Editor Julia Sakovich
Updated
2 mins read
Metaplanet stock has finally seen some movement, surging by 10% during the trading session on Oct. 28, all the way to 540 JPY. This comes as the Japanese Bitcoin treasury firm announced a 150 million share buyback program. However, the stock price has once again retraced, finding crucial support at the 500 JPY level.
Despite hitting the 30K Bitcoin holdings milestone for 2025 earlier in October, the Metaplanet stock has been under a strong bearish grip, following the lows of 430 JPY by mid-October. The stock is already trading at a 70% discount from its 2025 high of 1900 JPY.
The recent share repurchase program by the Japanese firm triggered bullish activity, taking the stock to 540 JPY. While speaking on today’s development, company CEO Simon Gerovich said that the company has launched a share repurchase program aimed at improving capital efficiency and maximizing its Bitcoin yield.
Gerovich added that the board of directors has also approved a new credit facility to support flexible execution within Metaplanet’s broader capital allocation strategy.
Furthermore, the company’s Bitcoin strategist, Dylan LeClair, also celebrated the 150 million share repurchase plan. He added that Metaplanet has secured a credit facility of up to $500 million, which can be utilized at the company’s discretion.
Market analyst Adam Livingston stated that Metaplanet is following its newly introduced capital allocation framework to execute its Bitcoin-focused treasury plan. Under the updated policy, the company may issue preferred stock to raise funds for acquiring additional Bitcoin BTC $114 824 24h volatility: 0.3% Market cap: $2.29 T Vol. 24h: $49.40 B .
Thus, it aims to boost BTC reserves per share and enhance financial flexibility. The recent news comes days after a Bloomberg report stated that Metaplanet’s Bitcoin accumulation strategy is not paying off.
Issuance of common stock will only be considered when Metaplanet’s market net asset value (mNAV) multiple is at or above 1.0x. Additionally, the framework includes a share buyback mechanism that allows Metaplanet to repurchase its own shares when mNAV is below 1.0x. This measure is designed to increase Bitcoin holdings per share and support the company’s intrinsic value under lower market valuations.
The latest share repurchase program aims to boost the Metaplanet stock, which has been under strong selling pressure. Despite reaching its ambitious target of holding 30,000 BTC before the end of 2025, the company’s share price has not reflected this milestone.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
