Matador acquired a controlling interest in a $58M share sale
Bitcoin financial services firm Matador Technologies has received a regulatory green light to sell up to 80 million Canadian dollars, or $58.4 million worth of company shares, to help it achieve its goal of holding 1,000 bitcoins by the end of 2026.
Matador said Tuesday that the Ontario Securities Commission has authorized it to issue $58.4 million worth of common shares, warrants, subscription receipts, debt securities or units over a 25-month period.
Matador CEO Devon Soni said the company is “focused on increasing Bitcoin per share over time” and “continues to target a 1,000 Bitcoin treasury by the end of 2026.”
Matador currently holds 175 Bitcoin (BTC), worth $15.3 million, making it the 90th largest corporate bitcoin holder, according to data from BitcoinTreasures.NET.
Matador's chief visionary, Mark Voss, said he closely monitors Bitcoin's volatility and moves to deploy capital at the most favorable times of the current market cycle.
Shares of Matador ( MATA ) fell on the news, closing Tuesday down 3.57 percent.
More than 190 publicly traded companies now hold Bitcoin on their balance sheets, continuing the trend of institutional Bitcoin adoption after Bitcoin exchange-traded funds launched in the US last year.
However, many companies that have adopted Bitcoin buying strategies have seen the crypto markets pull back and share prices slide as the initial hype fades, leading some analysts to question the long-term sustainability of Bitcoin treasury strategies.
Related: IMF says El Salvador is in talks to sell state-run Chivo bitcoin wallet.
Some corporate bitcoin holders have begun selling off part of their bitcoin holdings to meet balance sheet obligations amid tightening market conditions.
Chipmaker Sequential has backed away from its goal of raising 100,000 BTC over the next five years by selling 970 BTC of outstanding convertible debt in early November.
Matador bought 175 BTC in the first year of the treasury
Matador builds products to help traditional financial firms enter the Bitcoin ecosystem and announced a year ago that it would become a Bitcoin treasury company on December 23, 2024.
In July, Matador said it plans to expand its target holdings of 1,000 BTC by 2026 to 6,000 BTC before the end of 2027.
The ultimate goal is to acquire 1% of the Bitcoin fixed supply, which is about 210,000 BTC.
Michael Saylor's strategy is the only corporate bitcoin owner to have accumulated that amount to date.
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