Publicly-listed asset management firm Samara Asset Group is set to increase its Bitcoin holdings by utilizing proceeds from a €30 million ($32.8 million) bond. In an announcement made on October 14, the firm revealed that it has engaged the investment bank Pareto Securities as the sole manager to coordinate a series of fixed investor meetings. These meetings will discuss a potential multi-million euro bond aimed at expanding Samara’s investment portfolio.
Bond Details and Investment Strategy
According to Samara, “An up to €30 million senior secured Nordic bond may follow, subject to, inter alia, market conditions.” The proceeds from this bond will be allocated toward “additional limited partnership stakes” as well as investments in Bitcoin, which the firm considers a “primary treasury reserve asset.”
Patrick Lowry, the CEO of Samara, stated that the asset manager has been hodling Bitcoin “for years” and is now focusing on increasing its Bitcoin treasury. He emphasized the firm’s commitment to investing in “disruptive tech through top managers and builders.”
Lowry expressed admiration for Bitcoin proponent Michael Saylor, founder of MicroStrategy, stating, “Not sure it’s possible, but it’d be a dream to stack as much as Michael Saylor.” As of September, Saylor’s MicroStrategy holds an impressive 244,800 BTC, setting a high bar for other institutional investors.
Ambitious Goals for Bitcoin Holdings
Samara currently has exposure to “around 421 BTC” and aims to significantly enhance its Bitcoin holdings in 2024. Lowry articulated a specific goal: “I’d like to cross 1,000 BTC by year’s end.” He acknowledged that the size of Samara’s Bitcoin investment from the bond would depend on the amount raised through the bond issuance.
“It depends on how much we raise. Any assets that we raise that don’t deploy to the funds will be held in Bitcoin as part of our core treasury management strategy,” Lowry explained.
This strategy reflects a growing trend among asset managers to allocate a portion of their portfolios to cryptocurrencies, particularly Bitcoin, in order to diversify and bolster liquidity.
Lowry emphasized that Samara’s investment strategy is not limited to Bitcoin alone. The firm actively invests in funds and managers with the mission to “advance humanity through technology.” By incorporating Bitcoin as a core component of its treasury management, Samara aims to enhance its liquidity position while also supporting innovative projects.
Samara Asset Group Background
Samara Asset Group, formerly known as Cryptology Asset Group, was co-founded by notable Bitcoin advocate Mike Novogratz, along with Apeiron Investment Group and Christian Angermayer’s family office in 2018. The company is based in Malta and is listed on the German electronic stock exchange Xetra.
As of June, Samara’s net asset value stood at €189 million, equivalent to $20.6 million. The company’s portfolio includes investments in various entities, such as:
| Company | Description |
|---|---|
| Northern Data | A mining firm focused on Bitcoin mining. |
| Deutsche Digital Assets | A digital asset management company. |
| Nextmarkets | A platform for trading various financial assets. |
Samara’s decision to ramp up its Bitcoin position aligns with a broader trend in the market, particularly among institutional investors. As cryptocurrency continues to gain traction, more firms are exploring ways to integrate Bitcoin into their investment strategies.
In parallel, Mike Novogratz’s crypto investment firm, Galaxy Digital, has also been increasing its Bitcoin holdings. According to data from blockchain analytics firm Arkham Intelligence, Galaxy has purchased nearly 500 BTC since October 7. At the time of writing, this purchase is valued at approximately $32.4 million, according to CoinGecko.
As Bitcoin remains a volatile but potentially lucrative investment, Samara’s strategic move to increase its holdings could yield significant returns. The use of bond proceeds to enhance its crypto portfolio exemplifies a growing recognition of Bitcoin as a serious asset class among institutional investors.
By setting ambitious targets and adopting a diversified investment strategy, Samara Asset Group positions itself well for future growth. The combination of traditional finance mechanisms, such as bond issuance, with cryptocurrency investments could attract further interest from investors looking for exposure to this emerging asset class.
Samara Asset Group’s decision to utilize a €30 million bond to bolster its Bitcoin holdings reflects a broader trend of institutional interest in cryptocurrency. With a clear strategy and ambitious goals, the firm is well-positioned to navigate the complexities of the cryptocurrency market. As Bitcoin continues to gain acceptance, Samara’s initiatives may serve as a model for other asset managers seeking to capitalize on this evolving landscape.
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