Smarter Web repays debt early, avoids share dilution

Smarter Web repaid $11.7M in convertible notes early by selling 177.89 BTC, avoiding dilution. The company now holds 2,700 BTC and is moving away from convertible instruments.

The Smarter Web Company repaid its $11.7 million convertible instrument, held by entities related to TOBAM, about two weeks ahead of schedule. This was achieved by selling 177.89 Bitcoin at an average price of $65,762 per BTC. By settling the debt in cash, the company avoided issuing over 7.7 million ordinary shares, thus preventing dilution for existing shareholders. The Bitcoin sold had been purchased using subscription proceeds, with 100% of the funds invested in Bitcoin as per the agreement. After the transaction, Smarter Web retains a treasury of 2,700 Bitcoin and has indicated it will no longer favor convertible instruments for capital raising. The operation, supported by TOBAM, removed both the sold Bitcoin and potential shares from the company’s fully diluted treasury analysis.