In a groundbreaking move for British capital markets, The Smarter Web Company has raised £15.8 million ($21 million) through a Bitcoin-denominated convertible bond, marking a rare intersection between traditional finance and digital assets in the UK.
Announced Wednesday via the London Stock Exchange, the offering — dubbed “Smarter Convert” — was fully subscribed and backed by French asset management firm Tobam. The investment firm participated through three of its funds, underscoring growing institutional interest in crypto-financed instruments. Tobam, which managed over $2 billion in assets as of the end of 2024, has been active in the digital asset space since 2017, when it launched one of the first Bitcoin mutual funds for institutional investors.
The 12-month Bitcoin-denominated bond is convertible into The Smarter Web Company shares at a 5% premium to its Tuesday price of $2.60, setting the conversion rate at approximately $2.73. If all bondholders opt to convert, the company would issue just over 7.7 million new shares.
However, if the stock price increases by more than 50% above the conversion price for ten consecutive trading days, the company has the right to initiate a forced conversion — or “diversion” — from debt to equity.
Bondholders who decline conversion will be repaid 98% of the bond’s principal in Bitcoin upon maturity, with the repayment amount tied to the market price of BTC at that time.
Andrew Webley, CEO of The Smarter Web Company, called the bond structure a “first for the UK capital markets,” adding that the innovative approach allows the firm to tap into new funding streams while preserving shareholder value.
The company also emphasized that the Bitcoin-based fundraising adds to its digital asset holdings without immediate equity dilution. According to BitcoinTreasuries.NET, The Smarter Web Company currently holds 2,050 BTC (worth around $234 million), having recently added 225 BTC to its reserves in July.
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