Swedish company H100 Group, specializing in medical technologies, has announced a deal with Blockstream CEO Adam Back to secure substantial investment funding for implementing its Bitcoin strategy.
This is reported by Бізнес • Медіа
Details of the Financing and Structure of the Deal
Under the agreements, H100 Group will receive a loan of up to 750 million Swedish kronor (approximately $79 million). The funding will be provided in three phases: the first tranche has already been executed for 150 million kronor ($15 million), while each subsequent tranche will be no less than 75 million kronor and may be increased depending on market conditions.
“The three-tranche model allows for flexible capital allocation according to market conditions. The convertible loan provides quick and flexible financing, as well as strategic synergy with key partners,” the statement said.
Possibility of Loan Conversion and Market Reaction
According to the terms of the agreement, investors have the right to convert the received loan into equity at a fixed rate of 6.38 kronor per share. It is known that the demand for investments has exceeded expectations, leading to a rapid increase in the value of the first four tranches. Adam Back commented on the situation as follows:
“Unexpectedly, given the strong demand, tranches 1-4 quickly turned profitable. I expected H100 to gradually convert them as they reached profitability,” said Adam Back.
According to company representatives, the funds raised will support the active development of the Bitcoin strategy and the creation of new financial instruments based on cryptocurrency.
As a reminder, recently Japanese company Metaplanet surpassed exchange Coinbase in Bitcoin reserves, reaching a milestone of 10,000 BTC.