Brazil’s leading bitcoin treasury firm, OranjeBTC, has acquired back 99,600 of its own shares and announced a postponement on further BTC acquisitions. This action is aimed at reducing the discrepancy between its market price and the net asset value (NAV) of its bitcoin assets. The company invested 1.12 million reals (approximately $220,000) in the share buyback.
Recently listed on Brazil’s B3 exchange via a reverse merger with Intergraus, OranjeBTC holds 3,708 bitcoins, valued at around $409 million at current market prices.
It becomes part of a rising trend among digital asset treasury (DAT) firms with substantial cryptocurrency assets turning to buybacks while their values remain low.
For instance, ETHZilla (ETHZ) recently sold $40 million in ETH to buy back 600,000 shares under a $250 million buyback scheme, following a drop in its market-to-NAV ratio (mNAV) to 0.62.
Similarly, Tokyo-listed Metaplanet (3350) allocated 75 billion yen (about $500 million) for buybacks, financed through a bitcoin-backed loan after its mNAV dropped to 0.88. Sequans and Empery Digital have also taken similar measures, utilizing BTC or expanding debt facilities to facilitate repurchases.
Since the buyback announcement, Metaplanet’s stock has witnessed a 6% drop, while ETHZilla’s shares have seen over a 4% decline. Similarly, Sequans’ shares fell by more than 20% since its buyback announcement, and Empery Digital experienced an 8% decrease.
OranjeBTC’s shares on Brazil’s B3 exchange rose 0.3% in the trading session yesterday.
