The Smarter Web Company (LSE:SWC), which pursues a treasury strategy of accumulating Bitcoin under what it calls "The 10 Year Plan," bought 11.89 Bitcoin for £559,493, taking its total holdings to 2,712 Bitcoin.
The purchase came at an average price of £47,052 per coin, below the company's net average purchase price of £82,886, and coincided with a quarter-to-date Bitcoin yield of negative 4.80%, a metric the company uses to track whether its Bitcoin buying is accretive to shareholders relative to shares in issue.
Total drawings under the company's Coinbase credit facility stayed flat at £18.5 million, an approximate leverage ratio of 17%, but Coinbase cut the variable interest rate to 6% from a prior range of 6.75% to 7.25%.
The company also placed 3.3 million shares under a subscription agreement first announced on 24 December, raising gross proceeds of £1.02 million at roughly 31p per share, with 44.15 million shares still available under that agreement.
Separately, 2.88 million warrants were exercised at 2.5p each for gross proceeds of £71,875, leaving 32.43 million warrants outstanding, of which 25.78 million are held by chief executive Andrew Webley and his spouse.
The company confirmed its Bitcoin is held with institutional custodians including Coinbase, Xapo Bank, Fidelity Digital Assets, Anchorage Digital Bank and Kraken, rather than self-custodied.
"Our custody strategy has always prioritised security, diversification across trusted providers, and institutional best practice," the company said.
Total voting rights now stand at 374.84 million shares.
News Intelligence what this means for the company
Smarter Web added 11.89 Bitcoin to its 2,712-coin treasury at £47,052 per coin—well below its net average cost of £82,886—while reporting a negative 4.80% quarter-to-date Bitcoin yield, meaning the recent purchases have not yet offset Bitcoin's price decline relative to shares outstanding. The company also secured a rate cut on its Coinbase credit facility to 6% from 6.75–7.25%, reducing borrowing costs on £18.5 million of drawn debt (a 17% leverage ratio against holdings), and raised £1.02 million via share placement and £71,875 via warrant exercise.
The negative quarterly yield signals that despite buying at a discount to historical cost, Bitcoin's price weakness has eroded shareholder value on a per-share basis—a headwind to the "10 Year Plan" thesis that accumulation at lower prices will compound returns. The rate cut on leverage is a modest tailwind to cash flow, but the company remains exposed to further Bitcoin price swings and dilution from 44.15 million shares still available under the subscription agreement.
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