Bitcoin-focused Metaplanet slips 8% as it announces stock split

Metaplanet shares dropped over 8% after the Japanese firm announced a 10-for-1 stock split to improve liquidity.

Japanese investment firm Metaplanet’s shares fell 8.41% on over-the-counter markets following the the firm’s announcement of a stock split. The drop came after the board approved the move to increase the number of shares and lower the price per unit.

In a Feb. 18 notice, Metaplanet said the stock split aims to improve liquidity and expand investor base.

“[…] we have decided to conduct a stock split to lower the price per trading unit, thereby improving liquidity, expanding our investor base, and strengthening our connection with a broader range of shareholders.”

Metaplanet

The decision comes after a reverse stock split in August 2024, which consolidated 10 shares into one. Since then, the share price has surged, making it costly for investors to buy in, Metaplanet explains. As crypto.news reported earlier, Metaplanet has become Japan’s hottest stock, surging 3,600% after pivoting to Bitcoin. With 1,762 Bitcoin (BTC) and a bold 21,000 BTC target, it’s Asia’s top BTC play.

To lower the entry barrier, the firm now wants to split each share into 10, effective April 1. Shareholders recorded as of March 31 will receive the additional shares. The move will increase the total number of issued shares from about 39 million to nearly 392 million, per the notice.

The exercise price for stock acquisition rights will also be adjusted due to the split. For example, the price for the 13th to 17th series of stock acquisition rights will be reduced from 5,555 yen to 556 yen. Metaplanet noted that the stock split will not change its stated capital.