Samara Asset Group Eyes $32.8 Million Bond Issuance To Increase Bitcoin Holdings

In an October 14 announcement, Malta-based Samara Asset Group revealed plans to increase its Bitcoin (BTC) holdings through proceeds from a $32.8 million bond issuance.

Samara Targets 1,000 Bitcoin Milestone

Publicly-listed asset management firm Samara announced it had mandated investment bank Pareto Securities as a sole manager to schedule a series of fixed-income investor meetings to potentially issue up to a €30 million or $32.8 million Nordic bond.

Related Reading

Notably, the proceeds from the bond issuance will be utilized toward expanding Samara’s existing investment portfolio by acquiring additional limited partnership stakes in alternative investment funds.

Additionally, the funds raised will help Samara boost its Bitcoin holdings. The firm confirmed it uses BTC as its “primary treasury reserve asset,” and currently holds “around 421 BTC,” according to CEO Patrick Lowry. Commenting on the development, Lowry said:

The proceeds will allow Samara to further expand and solidify its already robust balance sheet as we diversify into new emerging technologies through new fund investments. With Bitcoin as our primary treasury reserve asset, we also enhance our liquidity position with bond proceeds.

He added that Samara has been holding BTC “for years” and aims to increase its reserves while investing in disruptive technology. Lowry also mentioned that, while it may be challenging, it would “be a dream to stack as much as Michael Saylor,” CEO of MicroStrategy.

According to data from CoinGecko, MicroStrategy leads the global list of publicly traded companies purchasing BTC for their corporate treasury. As of October 14, MicroStrategy holds more than 252,000 BTC or approximately 1.2% of the total circulating supply.

Saylor has also been quite vocal about sharing ambitious Bitcoin price targets. In September 2024, the MicroStrategy CEO predicted that BTC could soar to as high as $13 million by 2045.

BTC Remains The Preferred Digital Asset Ahead Of ETH, SOL

Despite the rapid advancements in smart contract ecosystems like Ethereum (ETH) and Solana (SOL), Bitcoin remains the dominant choice for companies as part of their treasury management strategy.

Several factors contribute to Bitcoin’s dominance in institutional adoption. For instance, the US Securities and Exchange Commission’s (SEC) approval of Bitcoin exchange-traded funds (ETFs) has further cemented BTC as a reliable digital asset with regulatory clarity.

Although Ethereum ETFs have also received regulatory approval, the second-largest cryptocurrency by market cap has not seen the same level of institutional adoption in corporate balance sheets.

Related Reading

In related news, Japan’s Metaplanet has also been working toward bolstering its Bitcoin reserves. In September 2024, the early-stage investment firm stated it had bought an additional $2 million worth of BTC. Bitcoin trades at $65,995 at press time, up 6.1% in the last 24 hours.

Featured image from Unsplash.com, Chart from TradingView.com