Shares of Brazilian Fintech Méliuz Slide After $78M Equity Offering Announcement for Bitcoin Buy

Brazilian fintech giant Méliuz (CASH3), catering to over 30 million users, is launching a public share offering to raise up to R$450 million (approximately $78 million), with all proceeds earmarked for bitcoin acquisitions. This move aims to cement bitcoin as a central strategic asset in the company’s treasury.

Announced Friday in a regulatory filing, the offering starts with 17 million common shares, with the potential to increase up to 51 million based on investor appetite. The shares will be offered exclusively to professional investors domestically and internationally under automatic registration guidelines.

Each share purchased will include free subscription warrants across 10 series, granting investors the right to buy additional shares at predetermined prices in the future. At current market rates, Méliuz expects to raise about $26 million, but this could soar if the overallotment option is fully exercised.

Participants in the offering will receive 50.6 million warrants, which could rise to a maximum of 152 million if subscription limits are met.

Méliuz is doubling down on bitcoin after revealing in March that it had already allocated 10% of its cash reserves to BTC. The new funds will further increase its bitcoin holdings, reinforcing the cryptocurrency’s role as a “primary strategic asset” in its treasury.

Warrant trading is scheduled to begin on June 16, with share settlement and bonus instrument crediting set for June 18.

The company currently holds 320.2 BTC. Following the announcement, Méliuz’s shares fell more than 8% in Friday’s trading session.