Metaplanet has frozen its insider share pool at 319.5 million shares following an admission that the mechanism caused excessive dilution for existing shareholders. The company's total share count increased from 153.9 million to 1.35 billion over the past two years, largely driven by stock sales to fund Bitcoin acquisitions.
The executive share pool, which reached 319,464,000 shares, was previously linked to 20% of the company's total issued shares. Under the new terms, insiders are prohibited from selling these shares until August 17, 2031. The company currently holds 43,000 BTC, making it the third-largest corporate holder of the cryptocurrency.
CEO Simon Gerovich recently exercised 92,000 rights, acquiring 64,032,000 shares for ¥640 million. This transaction increased his personal stake in the company to 6.2%. Following these developments, Metaplanet stock experienced a 9.96% decline on Tuesday, closing at ¥244 per share.
While the company's Bitcoin holdings are valued at approximately $3.4 billion, the total market capitalization of Metaplanet stands at roughly $2 billion. Shareholders continue to express concerns regarding the 273 million additional shares issued through the dilution mechanism.
